LES EDITIONS ALBERT RENE : revenue, balance sheet and financial ratios

In 2024, LES EDITIONS ALBERT RENE achieves revenue of 2.3 M€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +9.4%. Significant drop of -51% vs 2023. After deducting consumption (121 k€), gross margin stands at 2.2 M€, i.e. a rate of 95%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches -1.7 M€, representing -75.3% of revenue. Warning negative scissor effect: despite revenue change (-51%), EBITDA varies by -624%, reducing margin by 82.3 pts. This reflects costs rising faster than revenue. Negative EBITDA means operations do not cover current expenses: concerning situation. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 4.8 M€, i.e. 208.8% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 1%. 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 57%. 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 0.0 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 162.8% 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 165.71. Concretely, the company has €2 of liquid assets for every €1 of short-term debt: no cash risk within 12 months.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 352 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 87 days. The gap of 265 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 31 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 682 days of revenue, i.e. 4.4 M€ to permanently finance. Notable WCR improvement over the period (-33%), freeing up cash.

Based on 104 transactions of similar company sales (all years), the value of LES EDITIONS ALBERT RENE is estimated at 8 859 197 € (range 2 225 924€ - 16 751 259€). The price/revenue ratio is 0.24x (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.