GARAGE SAINT-HONORE : revenue, balance sheet and financial ratios

In 2024, GARAGE SAINT-HONORE achieves revenue of 5.0 M€. Revenue is growing positively over 9 years (CAGR: +2.0%). Vs 2023, growth of +10% (4.6 M€ -> 5.0 M€). After deducting consumption (3.3 M€), gross margin stands at 1.7 M€, i.e. a rate of 34%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 440 k€, representing 8.7% of revenue. Positive scissor effect: EBITDA margin improves by +3.2 pts, sign of improved operational efficiency. This level of operating margin is satisfactory for the sector. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 313 k€, i.e. 6.2% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 8%. 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 72%. 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 0.6 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 7.3% 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 397.73. 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 1.1x. Coverage is limited: any activity downturn would jeopardize interest payments.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 3 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 34 days. Excellent situation: suppliers finance 31 days of the operating cycle (retail model). Inventory turnover is 82 days (= Average inventory / Cost of goods x 360). Overall, WCR represents 56 days of revenue, i.e. 788 k€ to permanently finance. Over 2016-2024, WCR increased by +38%, requiring additional financing.

Based on 147 transactions of similar company sales in 2024, the value of GARAGE SAINT-HONORE is estimated at 2 023 911 € (range 911 451€ - 3 604 921€). With an EBITDA of 439 666€, 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.