SOCIETE PROVENCALE DE PAYSAGE : revenue, balance sheet and financial ratios

In 2024, SOCIETE PROVENCALE DE PAYSAGE achieves revenue of 9.1 M€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +13.6%. Slight decline of -9% vs 2023. After deducting consumption (2.2 M€), gross margin stands at 6.9 M€, i.e. a rate of 76%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 485 k€, representing 5.3% of revenue. Warning negative scissor effect: despite revenue change (-9%), EBITDA varies by -40%, reducing margin by 2.8 pts. This reflects costs rising faster than revenue. The operating margin remains fragile, requiring cost vigilance. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 306 k€, i.e. 3.4% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 20%. 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 26%. The balance between equity and debt is satisfactory. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 0.5 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 4.1% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 118.86. 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 2.2x. Financial charges are adequately covered by operations.

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: 86 days. Favorable situation: supplier credit is longer than customer credit by 14 days. Inventory turnover is 23 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 81 days of revenue, i.e. 2.1 M€ to permanently finance. Over 2016-2024, WCR increased by +138%, requiring additional financing.

Based on 125 transactions of similar company sales (all years), the value of SOCIETE PROVENCALE DE PAYSAGE is estimated at 1 831 075 € (range 770 248€ - 3 035 987€). With an EBITDA of 485 390€, the sector multiple of 2.8x is applied. The price/revenue ratio is 0.35x (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.