FRAIRIE DE BOURGOGNE : revenue, balance sheet and financial ratios

In 2024, FRAIRIE DE BOURGOGNE achieves revenue of 2.5 M€. Revenue is growing positively over 8 years (CAGR: +3.7%). Slight decline of -4% vs 2023. After deducting consumption (1.4 M€), gross margin stands at 1.2 M€, i.e. a rate of 46%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 122 k€, representing 4.8% of revenue. Warning negative scissor effect: despite revenue change (-4%), EBITDA varies by -55%, reducing margin by 5.4 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 39 k€, i.e. 1.6% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 14%. 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 68%. 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 1.6 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 4.1% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 312.91. 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 13.0x. 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: 41 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 39 days. The company must finance 2 days of gap between collections and payments. Inventory turnover is 80 days (= Average inventory / Cost of goods x 360). Overall, WCR represents 141 days of revenue, i.e. 996 k€ to permanently finance.

Based on 108 transactions of similar company sales (all years), the value of FRAIRIE DE BOURGOGNE is estimated at 452 384 € (range 250 348€ - 925 013€). With an EBITDA of 122 054€, 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.