SOUTHERN PARIS SARL : revenue, balance sheet and financial ratios

In 2024, SOUTHERN PARIS SARL achieves revenue of 821 k€. Revenue is growing positively over 8 years (CAGR: +4.9%). Vs 2023: +2%. After deducting consumption (0 €), gross margin stands at 821 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 444 k€, representing 54.1% of revenue. Warning negative scissor effect: despite revenue change (+2%), EBITDA varies by -15%, reducing margin by 10.4 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 332 k€, i.e. 40.4% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 35%. Debt remains under control: the company retains capacity to raise new debt if needed. Financial autonomy (= Equity / Total assets x 100) reaches 72%. 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 4.7 years of cash flow to repay all financial debt. This ratio remains within usual banking standards. Cash flow represents 35.2% 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 1529.91. 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 12.7x. 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: 282 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 23 days. The gap of 259 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 427 days of revenue, i.e. 973 k€ to permanently finance. Over 2017-2024, WCR increased by +16523%, requiring additional financing.

Based on 169 transactions of similar company sales in 2024, the value of SOUTHERN PARIS SARL is estimated at 1 894 981 € (range 541 216€ - 3 411 503€). With an EBITDA of 444 258€, 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.