MELCHIORRE S.A.S. : revenue, balance sheet and financial ratios

In 2024, MELCHIORRE S.A.S. achieves revenue of 30.6 M€. Revenue is growing positively over 9 years (CAGR: +2.9%). Vs 2023, growth of +21% (25.4 M€ -> 30.6 M€). After deducting consumption (4.9 M€), gross margin stands at 25.7 M€, i.e. a rate of 84%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 693 k€, representing 2.3% of revenue. Warning negative scissor effect: despite revenue change (+21%), EBITDA varies by -51%, reducing margin by 3.3 pts. This reflects costs rising faster than revenue. The operating margin remains fragile, requiring cost vigilance. Net income is negative at -378 k€ (-1.2% of revenue), which will impact equity.

The debt ratio (= Financial debt / Equity x 100) stands at 316%. 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 13%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 9.7 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 2.2% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 178.47. 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 18.7x. 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: 78 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 61 days. The company must finance 17 days of gap between collections and payments. Inventory turnover is 2 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 94 days of revenue, i.e. 8.0 M€ to permanently finance. Over 2016-2024, WCR increased by +25%, requiring additional financing.

Based on 136 transactions of similar company sales (all years), the value of MELCHIORRE S.A.S. is estimated at 3 119 705 € (range 1 519 502€ - 6 902 860€). With an EBITDA of 693 350€, the sector multiple of 1.7x is applied. The price/revenue ratio is 0.21x (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.