PEPINIERE SPORT ET PAYSAGE : revenue, balance sheet and financial ratios

In 2024, PEPINIERE SPORT ET PAYSAGE achieves revenue of 6.4 M€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +11.4%. Vs 2023: +8%. After deducting consumption (1.7 M€), gross margin stands at 4.7 M€, i.e. a rate of 73%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 313 k€, representing 4.9% of revenue. Warning negative scissor effect: despite revenue change (+8%), EBITDA varies by -32%, reducing margin by 2.9 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 140 k€, i.e. 2.2% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 22%. 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 28%. The balance between equity and debt is satisfactory.

The liquidity ratio (= Current assets / Current liabilities) stands at 145.08. 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 6.6x. 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: 111 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 75 days. The gap of 36 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 10 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 88 days of revenue, i.e. 1.6 M€ to permanently finance. Over 2016-2024, WCR increased by +120%, requiring additional financing.

Based on 125 transactions of similar company sales (all years), the value of PEPINIERE SPORT ET PAYSAGE is estimated at 1 199 120 € (range 514 128€ - 1 953 801€). With an EBITDA of 313 087€, the sector multiple of 2.8x is applied. The price/revenue ratio is 0.35x (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.