GARAGE DU LION : revenue, balance sheet and financial ratios

In 2024, GARAGE DU LION achieves revenue of 2.4 M€. Activity remains stable over the period (CAGR: -3.5%). Slight decline of -8% vs 2023. After deducting consumption (1.7 M€), gross margin stands at 639 k€, i.e. a rate of 27%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 76 k€, representing 3.2% of revenue. Warning negative scissor effect: despite revenue change (-8%), EBITDA varies by -55%, reducing margin by 3.3 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 176 k€, i.e. 7.4% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 26%. 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 73%. 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 2.2 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 6.0% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment. Satisfactory level allowing partial financing of growth.

The liquidity ratio (= Current assets / Current liabilities) stands at 710.59. 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 4.4x. 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: 9 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 16 days. Favorable situation: supplier credit is longer than customer credit by 7 days. Inventory turnover is 74 days (= Average inventory / Cost of goods x 360). Overall, WCR represents 92 days of revenue, i.e. 606 k€ to permanently finance.

Based on 147 transactions of similar company sales in 2024, the value of GARAGE DU LION is estimated at 616 666 € (range 299 664€ - 1 168 882€). With an EBITDA of 76 185€, the sector multiple of 5.5x is applied. The price/revenue ratio is 0.35x (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.