GROUPE FORMATION ET EDUCATION : revenue, balance sheet and financial ratios

In 2023, GROUPE FORMATION ET EDUCATION achieves revenue of 420 k€. Over the period 2021-2023, the company shows strong growth with a CAGR (compound annual growth rate) of +82.6%. Vs 2022: +3%. After deducting consumption (0 €), gross margin stands at 420 k€, i.e. a rate of 100%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 4 k€, representing 0.9% of revenue. Warning negative scissor effect: despite revenue change (+3%), EBITDA varies by -89%, reducing margin by 7.7 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 433 k€, i.e. 103.2% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 255%. Critical situation: debt significantly exceeds equity, severely limiting borrowing capacity and exposing the company to default risk. Financial autonomy (= Equity / Total assets x 100) reaches 28%. The balance between equity and debt is satisfactory. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 13.8 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 116.3% 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 373.32. 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 2862.3x. Operating income very largely covers interest expenses: high safety margin.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 12 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 91 days. Excellent situation: suppliers finance 79 days of the operating cycle (retail model). WCR is negative (-150 days): operations structurally generate cash. Notable WCR improvement over the period (-253%), freeing up cash.

Based on 89 transactions of similar company sales in 2023, the value of GROUPE FORMATION ET EDUCATION is estimated at 657 198 € (range 308 918€ - 1 474 883€). With an EBITDA of 3 781€, the sector multiple of 4.0x is applied. The price/revenue ratio is 0.52x (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.
Medium reliability: estimate to be confirmed with in-depth analysis.