TRAVAUX PUBLICS RAPIDE : revenue, balance sheet and financial ratios

In 2022, TRAVAUX PUBLICS RAPIDE achieves revenue of 179 k€. Over the period 2019-2022, the company shows strong growth with a CAGR (compound annual growth rate) of +13.5%. Vs 2021, growth of +77% (102 k€ -> 179 k€). After deducting consumption (94 k€), gross margin stands at 86 k€, i.e. a rate of 48%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 20 k€, representing 11.4% of revenue. Warning negative scissor effect: despite revenue change (+77%), EBITDA varies by +25%, reducing margin by 4.7 pts. This reflects costs rising faster than revenue. This level of operating margin is satisfactory for the sector. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 16 k€, i.e. 9.1% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 17%. 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 13%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Cash flow represents 9.6% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment. Satisfactory level allowing partial financing of growth.

The liquidity ratio (= Current assets / Current liabilities) stands at 437.19. 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 1.2x. Coverage is limited: any activity downturn would jeopardize interest payments.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 40 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 0 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 74 days (= Average inventory / Cost of goods x 360). Overall, WCR represents 83 days of revenue, i.e. 41 k€ to permanently finance. Over 2019-2022, WCR increased by +437%, requiring additional financing.

Based on 120 transactions of similar company sales (all years), the value of TRAVAUX PUBLICS RAPIDE is estimated at 37 544 € (range 13 010€ - 95 351€). With an EBITDA of 20 406€, the sector multiple of 1.4x is applied. The price/revenue ratio is 0.22x (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.