JOEL PIAT PRESTATIONS : revenue, balance sheet and financial ratios

In 2020, JOEL PIAT PRESTATIONS achieves revenue of 71 k€. Revenue is declining over the period 2016-2020 (CAGR: -9.0%). Significant drop of -25% vs 2019. After deducting consumption (28 k€), gross margin stands at 44 k€, i.e. a rate of 61%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 23 k€, representing 32.5% of revenue. Warning negative scissor effect: despite revenue change (-25%), EBITDA varies by -40%, reducing margin by 8.6 pts. This reflects costs rising faster than revenue. This high EBITDA margin provides strong self-financing capacity and resilience to uncertainties. Net income is negative at -23 k€ (-32.7% of revenue), which will impact equity.

The debt ratio (= Financial debt / Equity x 100) stands at 24%. 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 18%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 1.2 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 43.5% 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 713.77. 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: 341 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 9 days. The gap of 332 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 8 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 396 days of revenue, i.e. 78 k€ to permanently finance.

Based on 131 transactions of similar company sales (all years), the value of JOEL PIAT PRESTATIONS is estimated at 79 918 € (range 25 898€ - 139 105€). With an EBITDA of 23 216€, the sector multiple of 4.8x is applied. The price/revenue ratio is 0.36x (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.