SOCIETE D'ECONOMIE MIXTE D'EQUIPEMENT POUR LE DEVELOPPEMENT DE LA LOZERE : revenue, balance sheet and financial ratios

In 2024, SOCIETE D'ECONOMIE MIXTE D'EQUIPEMENT POUR LE DEVELOPPEMENT DE LA LOZERE achieves revenue of 9.8 M€. Revenue is growing positively over 9 years (CAGR: +0.8%). Slight decline of -1% vs 2023. After deducting consumption (622 k€), gross margin stands at 9.2 M€, i.e. a rate of 94%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 3.1 M€, representing 31.7% of revenue. Warning negative scissor effect: despite revenue change (-1%), EBITDA varies by -14%, reducing margin by 4.7 pts. This reflects costs rising faster than 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 747 k€, i.e. 7.6% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 109%. Debt level is high: negotiating margin with banks is reduced. Financial autonomy (= Equity / Total assets x 100) reaches 39%. The balance between equity and debt is satisfactory. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 3.7 years of cash flow to repay all financial debt. This ratio remains within usual banking standards. Cash flow represents 44.1% 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 315.93. 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 23.5x. 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: 11 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 83 days. Excellent situation: suppliers finance 72 days of the operating cycle (retail model). Inventory turnover is 7 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 64 days of revenue, i.e. 1.8 M€ to permanently finance. Notable WCR improvement over the period (-46%), freeing up cash.

Based on 169 transactions of similar company sales in 2024, the value of SOCIETE D'ECONOMIE MIXTE D'EQUIPEMENT POUR LE DEVELOPPEMENT DE LA LOZERE is estimated at 12 130 937 € (range 3 527 270€ - 21 872 358€). With an EBITDA of 3 118 732€, 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.