ETABLISSEMENTS SCHALLER FRERES : revenue, balance sheet and financial ratios

In 2022, ETABLISSEMENTS SCHALLER FRERES achieves revenue of 540 k€. Activity remains stable over the period (CAGR: -1.4%). Significant drop of -36% vs 2021. After deducting consumption (303 k€), gross margin stands at 236 k€, i.e. a rate of 44%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 22 k€, representing 4.0% of revenue. Warning negative scissor effect: despite revenue change (-36%), EBITDA varies by -79%, reducing margin by 8.5 pts. This reflects costs rising faster than revenue. The operating margin remains fragile, requiring cost vigilance. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 14 k€, i.e. 2.6% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 1%. 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 90%. 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 0.5 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 3.5% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 1125.90. 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 1.2x. Coverage is limited: any activity downturn would jeopardize interest payments.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 94 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 24 days. The gap of 70 days means the company finances its customers for over a month before being paid relative to supplier payments. This weighs on cash flow. Inventory turnover is 48 days (= Average inventory / Cost of goods x 360). Overall, WCR represents 149 days of revenue, i.e. 223 k€ to permanently finance. Over 2016-2022, WCR increased by +63%, requiring additional financing.

Based on 104 transactions of similar company sales (all years), the value of ETABLISSEMENTS SCHALLER FRERES is estimated at 58 225 € (range 33 244€ - 159 749€). With an EBITDA of 21 597€, the sector multiple of 1.0x is applied. The price/revenue ratio is 0.27x (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.