LABORATOIRE AGECOM : revenue, balance sheet and financial ratios

In 2022, LABORATOIRE AGECOM achieves revenue of 5.3 M€. Over the period 2017-2022, the company shows strong growth with a CAGR (compound annual growth rate) of +11.4%. Significant drop of -12% vs 2021. After deducting consumption (1.0 M€), gross margin stands at 4.3 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 1.0 M€, representing 19.3% of revenue. Warning negative scissor effect: despite revenue change (-12%), EBITDA varies by -34%, reducing margin by 6.6 pts. This reflects costs rising faster than revenue. This high EBITDA margin provides strong self-financing capacity and resilience to uncertainties. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 750 k€, i.e. 14.1% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 68%. Debt remains under control: the company retains capacity to raise new debt if needed. Financial autonomy (= Equity / Total assets x 100) reaches 29%. The balance between equity and debt is satisfactory. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 0.9 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 14.5% 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 197.46. 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 0.9x. Danger: operating income does not cover interest charges, unsustainable situation.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 110 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 92 days. The company must finance 18 days of gap between collections and payments. Inventory turnover is 16 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 146 days of revenue, i.e. 2.2 M€ to permanently finance. Over 2017-2022, WCR increased by +279%, requiring additional financing.

Based on 124 transactions of similar company sales (all years), the value of LABORATOIRE AGECOM is estimated at 824 529 € (range 402 067€ - 2 794 898€). With an EBITDA of 1 026 443€, 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.