SILLAGES : revenue, balance sheet and financial ratios

In 2024, SILLAGES achieves revenue of 15.0 M€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +14.8%. Slight decline of -6% vs 2023. After deducting consumption (770 k€), gross margin stands at 14.2 M€, i.e. a rate of 95%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 3.0 M€, representing 20.1% of revenue. Positive scissor effect: EBITDA margin improves by +11.5 pts, sign of improved operational efficiency. This high EBITDA margin provides strong self-financing capacity and resilience to uncertainties. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 464 k€, i.e. 3.1% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 469%. 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 12%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 8.1 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 10.9% 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 182.79. 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 11.1x. 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: 24 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 88 days. Excellent situation: suppliers finance 64 days of the operating cycle (retail model). Inventory turnover is 168 days (= Average inventory / Cost of goods x 360). This high level ties up cash and potentially creates obsolescence risk. Overall, WCR represents 173 days of revenue, i.e. 7.2 M€ to permanently finance. Over 2016-2024, WCR increased by +550%, requiring additional financing.

Based on 114 transactions of similar company sales (all years), the value of SILLAGES is estimated at 11 612 161 € (range 6 343 212€ - 19 494 058€). With an EBITDA of 3 003 230€, the sector multiple of 5.1x is applied. The price/revenue ratio is 0.72x (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.