VOLKSWIND SERVICE FRANCE : revenue, balance sheet and financial ratios

In 2024, VOLKSWIND SERVICE FRANCE achieves revenue of 2.3 M€. Over the period 2017-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +58.6%. Vs 2023, growth of +35% (1.7 M€ -> 2.3 M€). After deducting consumption (171 k€), gross margin stands at 2.1 M€, i.e. a rate of 93%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 192 k€, representing 8.4% of revenue. Warning negative scissor effect: despite revenue change (+35%), EBITDA varies by +2%, reducing margin by 2.7 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 84 k€, i.e. 3.6% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 154%. 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 27%. The balance between equity and debt is satisfactory. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 6.0 years of cash flow to repay all financial debt. This ratio remains within usual banking standards. Cash flow represents 5.3% 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 296.15. 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 21.4x. 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: 88 days. Excellent situation: suppliers finance 62 days of the operating cycle (retail model). Inventory turnover is 45 days (= Average inventory / Cost of goods x 360). Overall, WCR represents 30 days of revenue, i.e. 191 k€ to permanently finance. Over 2017-2024, WCR increased by +1026%, requiring additional financing.

Based on 197 transactions of similar company sales (all years), the value of VOLKSWIND SERVICE FRANCE is estimated at 463 231 € (range 187 186€ - 1 021 723€). With an EBITDA of 192 349€, the sector multiple of 2.4x is applied. The price/revenue ratio is 0.28x (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.