KENSINGTON FRANCE INDUSTRIAL PROPCO II SNC : revenue, balance sheet and financial ratios

In 2024, KENSINGTON FRANCE INDUSTRIAL PROPCO II SNC achieves revenue of 251 k€. Revenue is growing positively over 9 years (CAGR: +0.2%). Significant drop of -17% vs 2023. After deducting consumption (0 €), gross margin stands at 251 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 54 k€, representing 21.7% of revenue. Warning negative scissor effect: despite revenue change (-17%), EBITDA varies by -62%, reducing margin by 26.2 pts. This reflects costs rising faster than revenue. This high EBITDA margin provides strong self-financing capacity and resilience to uncertainties. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 1.6 M€, i.e. 654.6% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 80%. Debt level is high: negotiating margin with banks is reduced. Financial autonomy (= Equity / Total assets x 100) reaches 51%. 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 50.5 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 10.0% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment. Satisfactory level allowing partial financing of growth.

The liquidity ratio (= Current assets / Current liabilities) stands at 1542.78. 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 152.4x. 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: 116 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 130 days. Favorable situation: supplier credit is longer than customer credit by 14 days. Overall, WCR represents 3016 days of revenue, i.e. 2.1 M€ to permanently finance. Over 2016-2024, WCR increased by +2204%, requiring additional financing.

Based on 169 transactions of similar company sales in 2024, the value of KENSINGTON FRANCE INDUSTRIAL PROPCO II SNC is estimated at 2 453 554 € (range 737 180€ - 4 450 131€). With an EBITDA of 54 387€, the sector multiple of 5.6x is applied. The price/revenue ratio is 0.81x (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.