HELFRICH FARRJOP : revenue, balance sheet and financial ratios

In 2024, HELFRICH FARRJOP achieves revenue of 79.7 M€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +11.9%. Vs 2023, growth of +25% (63.7 M€ -> 79.7 M€). After deducting consumption (52.2 M€), gross margin stands at 27.5 M€, i.e. a rate of 35%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 492 k€, representing 0.6% of revenue. The operating margin remains fragile, requiring cost vigilance. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 728 k€, i.e. 0.9% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 74%. Debt level is high: negotiating margin with banks is reduced. Financial autonomy (= Equity / Total assets x 100) reaches 6%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 1.4 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 3.3% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 88.95. 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 26.0x. 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: 30 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 67 days. Excellent situation: suppliers finance 37 days of the operating cycle (retail model). Inventory turnover is 42 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 7 days of revenue, i.e. 1.5 M€ to permanently finance. Notable WCR improvement over the period (-76%), freeing up cash.

Based on 145 transactions of similar company sales (all years), the value of HELFRICH FARRJOP is estimated at 5 700 672 € (range 2 905 908€ - 14 332 556€). With an EBITDA of 492 109€, the sector multiple of 2.6x is applied. The price/revenue ratio is 0.19x (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.