RACINES D'AVENIR LYON WALDORF : revenue, balance sheet and financial ratios

In 2024, RACINES D'AVENIR LYON WALDORF achieves revenue of 69 k€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +82.9%. Significant drop of -34% vs 2023. After deducting consumption (0 €), gross margin stands at 69 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 52 k€, representing 76.0% of revenue. Warning negative scissor effect: despite revenue change (-34%), EBITDA varies by -45%, reducing margin by 15.4 pts. This reflects costs rising faster than revenue. This high EBITDA margin provides strong self-financing capacity and resilience to uncertainties. Net income is negative at -32 k€ (-46.7% of revenue), which will impact equity.

The debt ratio (= Financial debt / Equity x 100) stands at 280%. 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 25%. The balance between equity and debt is satisfactory. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 28.8 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 47.5% 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 210.91. 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 37.5x. 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: 8 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 369 days. Excellent situation: suppliers finance 361 days of the operating cycle (retail model). WCR is negative (-112 days): operations structurally generate cash. Notable WCR improvement over the period (-330%), freeing up cash.

Based on 169 transactions of similar company sales in 2024, the value of RACINES D'AVENIR LYON WALDORF is estimated at 203 536 € (range 56 318€ - 364 947€). With an EBITDA of 52 215€, the sector multiple of 5.6x is applied. The price/revenue ratio is 0.81x (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.