PHILIPPE TOURNAIRE : revenue, balance sheet and financial ratios

In 2024, PHILIPPE TOURNAIRE achieves revenue of 4.4 M€. Revenue is growing positively over 9 years (CAGR: +3.7%). Slight decline of -6% vs 2023. After deducting consumption (1.2 M€), gross margin stands at 3.2 M€, i.e. a rate of 72%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 315 k€, representing 7.1% of revenue. Warning negative scissor effect: despite revenue change (-6%), EBITDA varies by -44%, reducing margin by 4.8 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 193 k€, i.e. 4.3% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 47%. Debt remains under control: the company retains capacity to raise new debt if needed. Financial autonomy (= Equity / Total assets x 100) reaches 52%. 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 3.9 years of cash flow to repay all financial debt. This ratio remains within usual banking standards. Cash flow represents 6.6% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment. Satisfactory level allowing partial financing of growth.

The liquidity ratio (= Current assets / Current liabilities) stands at 363.84. 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 9.8x. 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: 17 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 57 days. Excellent situation: suppliers finance 40 days of the operating cycle (retail model). Inventory turnover is 249 days (= Average inventory / Cost of goods x 360). This high level ties up cash and potentially creates obsolescence risk. Overall, WCR represents 249 days of revenue, i.e. 3.1 M€ to permanently finance. Over 2016-2024, WCR increased by +20%, requiring additional financing.

Based on 101 transactions of similar company sales (all years), the value of PHILIPPE TOURNAIRE is estimated at 820 315 € (range 290 817€ - 1 525 352€). With an EBITDA of 314 894€, the sector multiple of 2.5x is applied. 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.