WAGRAM MUSIC : revenue, balance sheet and financial ratios

In 2024, WAGRAM MUSIC achieves revenue of 33.6 M€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +5.3%. Vs 2023, growth of +14% (29.4 M€ -> 33.6 M€). After deducting consumption (6.7 M€), gross margin stands at 26.9 M€, i.e. a rate of 80%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 12.2 M€, representing 36.4% of revenue. Positive scissor effect: EBITDA margin improves by +6.5 pts, sign of improved operational efficiency. This high EBITDA margin provides strong self-financing capacity and resilience to uncertainties. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 1.9 M€, i.e. 5.7% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 32%. Debt remains under control: the company retains capacity to raise new debt if needed. Financial autonomy (= Equity / Total assets x 100) reaches 49%. This high autonomy means the company finances most of its assets through equity, a sign of strength. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 2.4 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 10.3% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment. This high level provides strong self-financing capacity.

The liquidity ratio (= Current assets / Current liabilities) stands at 177.54. 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 8.9x. 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: 79 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 212 days. Excellent situation: suppliers finance 133 days of the operating cycle (retail model). Inventory turnover is 35 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 78 days of revenue, i.e. 7.3 M€ to permanently finance. Over 2016-2024, WCR increased by +1471%, requiring additional financing.

Based on 103 transactions of similar company sales (all years), the value of WAGRAM MUSIC is estimated at 23 989 899 € (range 12 200 177€ - 56 213 585€). With an EBITDA of 12 221 903€, the sector multiple of 3.2x is applied. The price/revenue ratio is 0.25x (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.