TEAM TURBO MACHINES : revenue, balance sheet and financial ratios

In 2024, TEAM TURBO MACHINES achieves revenue of 19.7 M€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +12.6%. Vs 2023, growth of +16% (16.9 M€ -> 19.7 M€). After deducting consumption (7 k€), gross margin stands at 19.7 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 2.9 M€, representing 14.8% of revenue. Positive scissor effect: EBITDA margin improves by +4.9 pts, sign of improved operational efficiency. This level of operating margin is satisfactory for the sector. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 2.3 M€, i.e. 11.5% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 6%. 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 46%. 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 0.2 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 12.4% 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 184.55. 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 0.9x. Danger: operating income does not cover interest charges, unsustainable situation.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 176 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 152 days. The company must finance 24 days of gap between collections and payments. Inventory turnover is 3 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 168 days of revenue, i.e. 9.2 M€ to permanently finance. Over 2016-2024, WCR increased by +581%, requiring additional financing.

Based on 104 transactions of similar company sales (all years), the value of TEAM TURBO MACHINES is estimated at 3 669 851 € (range 2 265 488€ - 11 025 536€). With an EBITDA of 2 907 241€, the sector multiple of 1.0x is applied. The price/revenue ratio is 0.27x (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.