SOCIETE D ECONOMIE MIXTE PLAINE COMMUNE DEVELOPPEMENT : revenue, balance sheet and financial ratios

In 2024, SOCIETE D ECONOMIE MIXTE PLAINE COMMUNE DEVELOPPEMENT achieves revenue of 20.6 M€. Revenue is declining over the period 2016-2024 (CAGR: -13.3%). Significant drop of -17% vs 2023. After deducting consumption (0 €), gross margin stands at 20.6 M€, i.e. a rate of 100%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 567 k€, representing 2.8% of revenue. Positive scissor effect: EBITDA margin improves by +41.9 pts, sign of improved operational efficiency. The operating margin remains fragile, requiring cost vigilance. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 356 k€, i.e. 1.7% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 1286%. 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 4%. Low autonomy: the company heavily depends on external financing (banks, suppliers).

The liquidity ratio (= Current assets / Current liabilities) stands at 1259.93. 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 38.1x. 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: 217 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 95 days. The gap of 122 days means the company finances its customers for over a month before being paid relative to supplier payments. This weighs on cash flow. Inventory turnover is 1705 days (= Average inventory / Cost of goods x 360). This high level ties up cash and potentially creates obsolescence risk. Overall, WCR represents 1530 days of revenue, i.e. 87.4 M€ to permanently finance. Over 2016-2024, WCR increased by +271%, requiring additional financing.

Based on 277 transactions of similar company sales (all years), the value of SOCIETE D ECONOMIE MIXTE PLAINE COMMUNE DEVELOPPEMENT is estimated at 2 296 477 € (range 1 015 655€ - 5 466 587€). With an EBITDA of 566 821€, the sector multiple of 1.3x is applied. The price/revenue ratio is 0.29x (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.