EYEWORKS 3 SARL : revenue, balance sheet and financial ratios

In 2024, EYEWORKS 3 SARL achieves revenue of 2.1 M€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +18.5%. Slight decline of -9% vs 2023. After deducting consumption (422 k€), gross margin stands at 1.6 M€, i.e. a rate of 79%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 47 k€, representing 2.3% of revenue. Warning negative scissor effect: despite revenue change (-9%), EBITDA varies by -84%, reducing margin by 11.1 pts. This reflects costs rising faster than revenue. The operating margin remains fragile, requiring cost vigilance. Net income is negative at -52 k€ (-2.5% of revenue), which will impact equity.

The debt ratio (= Financial debt / Equity x 100) stands at 126%. Debt level is high: negotiating margin with banks is reduced. Financial autonomy (= Equity / Total assets x 100) reaches 35%. The balance between equity and debt is satisfactory. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 13.2 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 2.1% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 383.75. 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 18.2x. Operating income very largely covers interest expenses: high safety margin.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 39 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 37 days. The company must finance 2 days of gap between collections and payments. Inventory turnover is 93 days (= Average inventory / Cost of goods x 360). This high level ties up cash and potentially creates obsolescence risk. Overall, WCR represents 137 days of revenue, i.e. 782 k€ to permanently finance.

Based on 145 transactions of similar company sales (all years), the value of EYEWORKS 3 SARL is estimated at 224 260 € (range 110 865€ - 591 894€). With an EBITDA of 47 356€, the sector multiple of 2.6x is applied. The price/revenue ratio is 0.19x (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.