MASTER CONSEIL : revenue, balance sheet and financial ratios

In 2024, MASTER CONSEIL achieves revenue of 618 k€. Revenue is growing positively over 8 years (CAGR: +5.0%). Significant drop of -14% vs 2023. After deducting consumption (0 €), gross margin stands at 618 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 33 k€, representing 5.4% of revenue. Warning negative scissor effect: despite revenue change (-14%), EBITDA varies by -55%, reducing margin by 5.1 pts. This reflects costs rising faster than revenue. The operating margin remains fragile, requiring cost vigilance. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 19 k€, i.e. 3.0% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 753%. 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 7%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 20.1 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 3.8% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 234.04. 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 35.9x. 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: 236 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 33 days. The gap of 203 days means the company finances its customers for over a month before being paid relative to supplier payments. This weighs on cash flow. Overall, WCR represents 329 days of revenue, i.e. 564 k€ to permanently finance. Over 2016-2024, WCR increased by +37%, requiring additional financing.

Based on 103 transactions of similar company sales (all years), the value of MASTER CONSEIL is estimated at 111 705 € (range 53 650€ - 272 482€). With an EBITDA of 33 466€, the sector multiple of 2.5x is applied. The price/revenue ratio is 0.30x (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.