LARRERE ENVIRONNEMENT : revenue, balance sheet and financial ratios

In 2024, LARRERE ENVIRONNEMENT achieves revenue of 807 k€. Activity remains stable over the period (CAGR: -0.1%). Vs 2023: +2%. After deducting consumption (95 k€), gross margin stands at 712 k€, i.e. a rate of 88%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 414 k€, representing 51.2% of revenue. Warning negative scissor effect: despite revenue change (+2%), EBITDA varies by -23%, reducing margin by 16.6 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 -187 k€ (-23.2% of revenue), which will impact equity.

The debt ratio (= Financial debt / Equity x 100) stands at 1649%. 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 5%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 12.9 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 38.3% 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 326.72. 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 51.0x. 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: 99 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 171 days. Excellent situation: suppliers finance 72 days of the operating cycle (retail model). Inventory turnover is 28 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 205 days of revenue, i.e. 458 k€ to permanently finance.

Based on 85 transactions of similar company sales (all years), the value of LARRERE ENVIRONNEMENT is estimated at 834 689 € (range 109 835€ - 3 408 759€). With an EBITDA of 413 506€, the sector multiple of 2.4x is applied. The price/revenue ratio is 0.69x (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.