NOUVELLE AUDITION : revenue, balance sheet and financial ratios

In 2022, NOUVELLE AUDITION achieves revenue of 92 k€. Revenue is declining over the period 2016-2022 (CAGR: -31.7%). Significant drop of -91% vs 2021. After deducting consumption (19 k€), gross margin stands at 73 k€, i.e. a rate of 79%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 41 k€, representing 43.9% of revenue. Positive scissor effect: EBITDA margin improves by +34.3 pts, sign of improved operational efficiency. This high EBITDA margin provides strong self-financing capacity and resilience to uncertainties. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 90 k€, i.e. 97.1% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 18%. 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 82%. 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 2.7 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 98.4% 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 3147.45. 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 9.0x. 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: 360 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 14 days. The gap of 346 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 6283 days of revenue, i.e. 1.6 M€ to permanently finance. Over 2016-2022, WCR increased by +80%, requiring additional financing.

Based on 241 transactions of similar company sales in 2022, the value of NOUVELLE AUDITION is estimated at 156 827 € (range 62 711€ - 359 697€). With an EBITDA of 40 576€, the sector multiple of 3.3x is applied. The price/revenue ratio is 0.68x (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.