ETABLISSEMENTS LEBLANC : revenue, balance sheet and financial ratios

In 2022, ETABLISSEMENTS LEBLANC achieves revenue of 8.7 M€. Over the period 2016-2022, the company shows strong growth with a CAGR (compound annual growth rate) of +9.5%. Vs 2021, growth of +22% (7.1 M€ -> 8.7 M€). After deducting consumption (3.0 M€), gross margin stands at 5.7 M€, i.e. a rate of 65%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 972 k€, representing 11.2% of revenue. Positive scissor effect: EBITDA margin improves by +2.5 pts, sign of improved operational efficiency. This level of operating margin is satisfactory for the sector. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 662 k€, i.e. 7.6% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 3%. This very low level reflects a solid financial structure, offering significant room for future investments or acquisitions. Financial autonomy (= Equity / Total assets x 100) reaches 66%. This high autonomy means the company finances most of its assets through equity, a sign of strength. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 0.1 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 8.6% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment. Satisfactory level allowing partial financing of growth.

The liquidity ratio (= Current assets / Current liabilities) stands at 251.50. Concretely, the company has €2 of liquid assets for every €1 of short-term debt: no cash risk within 12 months. The interest coverage ratio (= EBIT / Interest expenses) is 0.1x. Danger: operating income does not cover interest charges, unsustainable situation.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 43 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 40 days. The company must finance 3 days of gap between collections and payments. Inventory turnover is 50 days (= Average inventory / Cost of goods x 360). Overall, WCR represents 80 days of revenue, i.e. 1.9 M€ to permanently finance. Over 2016-2022, WCR increased by +72%, requiring additional financing.

Based on 56 transactions of similar company sales (all years), the value of ETABLISSEMENTS LEBLANC is estimated at 1 093 453 € (range 685 163€ - 2 517 758€). With an EBITDA of 972 039€, the sector multiple of 1.0x is applied. The price/revenue ratio is 0.13x (conservative valuation). This multiples method compares the actual sale price of similar companies to their financial indicators (Revenue, EBITDA, Net Income). It provides a market-based indicative estimate.
Medium reliability: estimate to be confirmed with in-depth analysis.