QUADRAL E-SERVICES : revenue, balance sheet and financial ratios

In 2024, QUADRAL E-SERVICES achieves revenue of 950 k€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +16.8%. Vs 2023, growth of +19% (797 k€ -> 950 k€). After deducting consumption (0 €), gross margin stands at 950 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 50 k€, representing 5.2% of revenue. Warning negative scissor effect: despite revenue change (+19%), EBITDA varies by -77%, reducing margin by 22.3 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 63 k€, i.e. 6.6% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 317%. 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 19%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 28.1 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 2.8% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 349.49. 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 1.8x. Coverage is limited: any activity downturn would jeopardize interest payments.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 225 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 37 days. The gap of 188 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 287 days of revenue, i.e. 756 k€ to permanently finance. Over 2016-2024, WCR increased by +843%, requiring additional financing.

Based on 103 transactions of similar company sales (all years), the value of QUADRAL E-SERVICES is estimated at 110 195 € (range 44 897€ - 284 287€). With an EBITDA of 49 588€, the sector multiple of 1.0x is applied. The price/revenue ratio is 0.25x (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.