TERDIS : revenue, balance sheet and financial ratios

In 2023, TERDIS achieves revenue of 44.0 M€. Over the period 2016-2023, the company shows strong growth with a CAGR (compound annual growth rate) of +16.5%. Vs 2021, growth of +46% (30.1 M€ -> 44.0 M€). After deducting consumption (32.2 M€), gross margin stands at 11.8 M€, i.e. a rate of 27%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 1.8 M€, representing 4.2% of revenue. Warning negative scissor effect: despite revenue change (+46%), EBITDA varies by -47%, reducing margin by 7.3 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 690 k€, i.e. 1.6% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 350%. Critical situation: debt significantly exceeds equity, severely limiting borrowing capacity and exposing the company to default risk. Financial autonomy (= Equity / Total assets x 100) reaches 15%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 17.2 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 1.7% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 299.71. 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 42.0x. 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: 55 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 46 days. The company must finance 9 days of gap between collections and payments. Inventory turnover is 104 days (= Average inventory / Cost of goods x 360). This high level ties up cash and potentially creates obsolescence risk. Overall, WCR represents 154 days of revenue, i.e. 18.9 M€ to permanently finance. Over 2016-2023, WCR increased by +236%, requiring additional financing.

Based on 145 transactions of similar company sales (all years), the value of TERDIS is estimated at 5 373 734 € (range 2 382 843€ - 13 975 786€). With an EBITDA of 1 834 325€, the sector multiple of 2.6x is applied. The price/revenue ratio is 0.19x (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.