GARAGE SYLVESTRE : revenue, balance sheet and financial ratios

In 2022, GARAGE SYLVESTRE achieves revenue of 1.1 M€. Revenue is growing positively over 6 years (CAGR: +1.9%). Vs 2021, growth of +19% (943 k€ -> 1.1 M€). After deducting consumption (114 k€), gross margin stands at 1.0 M€, i.e. a rate of 90%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 512 k€, representing 45.6% of revenue. Warning negative scissor effect: despite revenue change (+19%), EBITDA varies by +12%, reducing margin by 2.8 pts. This reflects costs rising faster than revenue. This high EBITDA margin provides strong self-financing capacity and resilience to uncertainties. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 275 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 7%. 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 82%. 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 0.5 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 36.9% 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 1412.70. 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 1.5x. 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: 57 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 80 days. Favorable situation: supplier credit is longer than customer credit by 23 days. Inventory turnover is 128 days (= Average inventory / Cost of goods x 360). This high level ties up cash and potentially creates obsolescence risk. Overall, WCR represents 26 days of revenue, i.e. 82 k€ to permanently finance. Notable WCR improvement over the period (-78%), freeing up cash.

Based on 148 transactions of similar company sales in 2022, the value of GARAGE SYLVESTRE is estimated at 521 922 € (range 219 668€ - 1 482 781€). With an EBITDA of 511 565€, the sector multiple of 1.2x is applied. The price/revenue ratio is 0.16x (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.