LA DUCHESSE D'HARCOURT : revenue, balance sheet and financial ratios

In 2024, LA DUCHESSE D'HARCOURT achieves revenue of 2.1 M€. Revenue is growing positively over 9 years (CAGR: +2.9%). Slight decline of -1% vs 2023. After deducting consumption (0 €), gross margin stands at 2.1 M€, i.e. a rate of 100%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 1.5 M€, representing 71.6% of revenue. Warning negative scissor effect: despite revenue change (-1%), EBITDA varies by -5%, reducing margin by 2.8 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 22 k€, i.e. 1.0% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 204%. 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 30%. The balance between equity and debt is satisfactory. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 14.2 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 56.6% 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 63.42. 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 51.6x. 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: 148 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 232 days. Excellent situation: suppliers finance 84 days of the operating cycle (retail model). Overall, WCR represents 572 days of revenue, i.e. 3.4 M€ to permanently finance. Over 2016-2024, WCR increased by +77%, requiring additional financing.

Based on 113 transactions of similar company sales (all years), the value of LA DUCHESSE D'HARCOURT is estimated at 2 870 592 € (range 1 103 857€ - 4 169 180€). With an EBITDA of 1 529 020€, the sector multiple of 3.6x is applied. The price/revenue ratio is 0.11x (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.