GR PRO AUTO SERVICES : revenue, balance sheet and financial ratios

In 2018, GR PRO AUTO SERVICES achieves revenue of 436 k€. Over the period 2016-2018, the company shows strong growth with a CAGR (compound annual growth rate) of +8.9%. Vs 2017, growth of +50% (291 k€ -> 436 k€). After deducting consumption (100 k€), gross margin stands at 335 k€, i.e. a rate of 77%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 74 k€, representing 17.1% of revenue. Positive scissor effect: EBITDA margin improves by +25.6 pts, sign of improved operational efficiency. This high EBITDA margin provides strong self-financing capacity and resilience to uncertainties. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 60 k€, i.e. 13.7% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 6%. 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 0.2 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 15.9% 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 321.04. Concretely, the company has €2 of liquid assets for every €1 of short-term debt: no cash risk within 12 months.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 18 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 60 days. Excellent situation: suppliers finance 42 days of the operating cycle (retail model). Inventory turnover is 22 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 30 days of revenue, i.e. 37 k€ to permanently finance. Notable WCR improvement over the period (-37%), freeing up cash.

Based on 159 transactions of similar company sales in 2018, the value of GR PRO AUTO SERVICES is estimated at 253 637 € (range 137 274€ - 456 436€). With an EBITDA of 74 356€, the sector multiple of 4.0x 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.