CLARIANCE MEDICAL DISTRIBUTION : revenue, balance sheet and financial ratios

In 2024, CLARIANCE MEDICAL DISTRIBUTION achieves revenue of 6.5 M€. Over the period 2020-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +11.3%. Vs 2023: +7%. After deducting consumption (3.4 M€), gross margin stands at 3.1 M€, i.e. a rate of 48%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 1.7 M€, representing 26.1% of revenue. Positive scissor effect: EBITDA margin improves by +8.8 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 124 k€, i.e. 1.9% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 390%. 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 9%. Low autonomy: the company heavily depends on external financing (banks, suppliers). Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 4.7 years of cash flow to repay all financial debt. This ratio remains within usual banking standards. Cash flow represents 7.2% 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 148.91. 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 12.4x. 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: 70 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 161 days. Excellent situation: suppliers finance 91 days of the operating cycle (retail model). Inventory turnover is 193 days (= Average inventory / Cost of goods x 360). This high level ties up cash and potentially creates obsolescence risk. Overall, WCR represents 208 days of revenue, i.e. 3.8 M€ to permanently finance.

Based on 124 transactions of similar company sales (all years), the value of CLARIANCE MEDICAL DISTRIBUTION is estimated at 1 035 488 € (range 516 606€ - 3 514 690€). With an EBITDA of 1 700 855€, 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.