GEDIA : revenue, balance sheet and financial ratios

In 2024, GEDIA achieves revenue of 52.1 M€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +6.6%. Slight decline of -2% vs 2023. After deducting consumption (33.3 M€), gross margin stands at 18.8 M€, i.e. a rate of 36%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 7.6 M€, representing 14.6% of revenue. Warning negative scissor effect: despite revenue change (-2%), EBITDA varies by -23%, reducing margin by 4.1 pts. This reflects costs rising faster than revenue. This level of operating margin is satisfactory for the sector. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 1.2 M€, i.e. 2.4% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 3%. 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 37%. The balance between equity and debt is satisfactory. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 0.2 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 13.8% 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 185.60. 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 0.2x. Danger: operating income does not cover interest charges, unsustainable situation.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 166 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 79 days. The gap of 87 days means the company finances its customers for over a month before being paid relative to supplier payments. This weighs on cash flow. Inventory turnover is 19 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 106 days of revenue, i.e. 15.4 M€ to permanently finance. Over 2016-2024, WCR increased by +993%, requiring additional financing.

Based on 127 transactions of similar company sales (all years), the value of GEDIA is estimated at 18 439 184 € (range 2 596 189€ - 76 854 063€). With an EBITDA of 7 600 736€, the sector multiple of 2.3x is applied. The price/revenue ratio is 0.59x (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.