VERMEIREN FRANCE : revenue, balance sheet and financial ratios

In 2024, VERMEIREN FRANCE achieves revenue of 26.1 M€. Revenue is growing positively over 9 years (CAGR: +2.6%). Slight decline of -6% vs 2023. After deducting consumption (18.7 M€), gross margin stands at 7.4 M€, i.e. a rate of 28%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 608 k€, representing 2.3% of revenue. The operating margin remains fragile, requiring cost vigilance. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 104 k€, i.e. 0.4% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 52%. Debt remains under control: the company retains capacity to raise new debt if needed. Financial autonomy (= Equity / Total assets x 100) reaches 16%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 2.0 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 1.5% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 93.38. 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 26.1x. 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: 26 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 99 days. Excellent situation: suppliers finance 73 days of the operating cycle (retail model). Inventory turnover is 51 days (= Average inventory / Cost of goods x 360). Overall, WCR represents 73 days of revenue, i.e. 5.3 M€ to permanently finance. Over 2016-2024, WCR increased by +52%, requiring additional financing.

Based on 124 transactions of similar company sales (all years), the value of VERMEIREN FRANCE is estimated at 1 900 068 € (range 1 012 717€ - 5 896 636€). With an EBITDA of 607 884€, the sector multiple of 0.7x is applied. The price/revenue ratio is 0.21x (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.