F.M.S. FIELD MARKETING SERVICE : revenue, balance sheet and financial ratios

In 2021, F.M.S. FIELD MARKETING SERVICE achieves revenue of 2.2 M€. Over the period 2016-2021, the company shows strong growth with a CAGR (compound annual growth rate) of +54.4%. Vs 2020, growth of +49% (1.5 M€ -> 2.2 M€). After deducting consumption (0 €), gross margin stands at 2.2 M€, i.e. a rate of 100%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 886 k€, representing 40.7% of revenue. Positive scissor effect: EBITDA margin improves by +24.2 pts, sign of improved operational efficiency. This high EBITDA margin provides strong self-financing capacity and resilience to uncertainties. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 532 k€, i.e. 24.5% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 527%. Critical situation: debt significantly exceeds equity, severely limiting borrowing capacity and exposing the company to default risk. Financial autonomy (= Equity / Total assets x 100) reaches 15%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 7.0 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 24.5% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment. This high level provides strong self-financing capacity.

The liquidity ratio (= Current assets / Current liabilities) stands at 1410.85. 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 4.2x. 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: 119 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 28 days. The gap of 91 days means the company finances its customers for over a month before being paid relative to supplier payments. This weighs on cash flow. Overall, WCR represents 724 days of revenue, i.e. 4.4 M€ to permanently finance. Over 2016-2021, WCR increased by +1199%, requiring additional financing.

Based on 61 transactions of similar company sales in 2021, the value of F.M.S. FIELD MARKETING SERVICE is estimated at 1 970 059 € (range 1 057 714€ - 4 330 369€). With an EBITDA of 886 002€, the sector multiple of 3.1x is applied. The price/revenue ratio is 0.54x (in line with sector norms). 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.