SEPTEO SOLUTIONS AVOCATS : revenue, balance sheet and financial ratios

In 2024, SEPTEO SOLUTIONS AVOCATS achieves revenue of 36.1 M€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +14.0%. Vs 2023, growth of +25% (29.0 M€ -> 36.1 M€). After deducting consumption (1.2 M€), gross margin stands at 34.9 M€, i.e. a rate of 97%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 12.8 M€, representing 35.5% of revenue. This high EBITDA margin provides strong self-financing capacity and resilience to uncertainties. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 10.2 M€, i.e. 28.3% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 5%. 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 72%. 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 0.1 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 32.0% 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 269.27. 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 0.1x. Danger: operating income does not cover interest charges, unsustainable situation.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 38 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 102 days. Excellent situation: suppliers finance 64 days of the operating cycle (retail model). Inventory turnover is 2 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 142 days of revenue, i.e. 14.2 M€ to permanently finance. Over 2016-2024, WCR increased by +6043%, requiring additional financing.

Based on 103 transactions of similar company sales (all years), the value of SEPTEO SOLUTIONS AVOCATS is estimated at 11 383 140 € (range 4 151 828€ - 34 217 671€). With an EBITDA of 12 792 496€, 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.