EUROPEENNE GASTRONOMIQUE DE CHARCUTERIE : revenue, balance sheet and financial ratios

In 2024, EUROPEENNE GASTRONOMIQUE DE CHARCUTERIE achieves revenue of 5.5 M€. Revenue is growing positively over 9 years (CAGR: +4.5%). Slight decline of -3% vs 2023. After deducting consumption (2.9 M€), gross margin stands at 2.6 M€, i.e. a rate of 48%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 106 k€, representing 1.9% of revenue. Warning negative scissor effect: despite revenue change (-3%), EBITDA varies by -70%, reducing margin by 4.3 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 26 k€, i.e. 0.5% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 12%. 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 64%. 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 3.0 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 1.8% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 237.96. 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 4.0x. Financial charges are adequately covered by operations.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 41 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 53 days. Favorable situation: supplier credit is longer than customer credit by 12 days. Inventory turnover is 20 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 127 days of revenue, i.e. 1.9 M€ to permanently finance. Over 2016-2024, WCR increased by +29%, requiring additional financing.

Based on 108 transactions of similar company sales (all years), the value of EUROPEENNE GASTRONOMIQUE DE CHARCUTERIE is estimated at 640 357 € (range 349 001€ - 1 214 840€). With an EBITDA of 106 333€, the sector multiple of 3.6x is applied. The price/revenue ratio is 0.26x (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.