SOCIETE HOLDING CASTILLO DEVELOPPEMENT : revenue, balance sheet and financial ratios

In 2024, SOCIETE HOLDING CASTILLO DEVELOPPEMENT achieves revenue of 571 k€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +12.1%. Significant drop of -29% vs 2023. After deducting consumption (0 €), gross margin stands at 571 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 220 k€, representing 38.5% of revenue. Warning negative scissor effect: despite revenue change (-29%), EBITDA varies by -51%, reducing margin by 17.2 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 675 k€, i.e. 118.3% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 55%. Debt remains under control: the company retains capacity to raise new debt if needed. Financial autonomy (= Equity / Total assets x 100) reaches 64%. 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 2.9 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 126.4% 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 4445.17. 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 14.3x. 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: 72 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 26 days. The gap of 46 days means the company finances its customers for over a month before being paid relative to supplier payments. This weighs on cash flow. Overall, WCR represents 1861 days of revenue, i.e. 3.0 M€ to permanently finance. Over 2016-2024, WCR increased by +2931%, requiring additional financing.

Based on 103 transactions of similar company sales in 2024, the value of SOCIETE HOLDING CASTILLO DEVELOPPEMENT is estimated at 1 901 608 € (range 566 811€ - 4 502 315€). With an EBITDA of 219 969€, the sector multiple of 5.0x is applied. The price/revenue ratio is 0.38x (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.