TRANSFAIRE TECHNOLOGIES : revenue, balance sheet and financial ratios

In 2024, TRANSFAIRE TECHNOLOGIES achieves revenue of 14.1 M€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +10.7%. Significant drop of -21% vs 2023. After deducting consumption (11.3 M€), gross margin stands at 2.8 M€, i.e. a rate of 20%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 772 k€, representing 5.5% of revenue. Warning negative scissor effect: despite revenue change (-21%), EBITDA varies by -75%, reducing margin by 11.6 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 354 k€, i.e. 2.5% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 64%. Debt remains under control: the company retains capacity to raise new debt if needed. Financial autonomy (= Equity / Total assets x 100) reaches 40%. The balance between equity and debt is satisfactory. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 5.4 years of cash flow to repay all financial debt. This ratio remains within usual banking standards. Cash flow represents 3.2% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 217.94. 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 26.3x. 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: 116 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 76 days. The gap of 40 days means the company finances its customers for over a month before being paid relative to supplier payments. This weighs on cash flow. Inventory turnover is 35 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 153 days of revenue, i.e. 6.0 M€ to permanently finance. Over 2016-2024, WCR increased by +460%, requiring additional financing.

Indicative estimate only : the number of comparable transactions in this sector is limited (32 transactions). This range of 1 051 959€ to 3 062 129€ is provided for information purposes only and requires in-depth analysis to be confirmed.