LABORATOIRES CLARINS : revenue, balance sheet and financial ratios

In 2024, LABORATOIRES CLARINS achieves revenue of 453.0 M€. Revenue is growing positively over 9 years (CAGR: +2.3%). Vs 2023: +2%. After deducting consumption (270.6 M€), gross margin stands at 182.3 M€, i.e. a rate of 40%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 49.0 M€, representing 10.8% of revenue. Warning negative scissor effect: despite revenue change (+2%), EBITDA varies by -25%, reducing margin by 3.9 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 32.2 M€, i.e. 7.1% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 23%. This very low level reflects a solid financial structure, offering significant room for future investments or acquisitions. Financial autonomy (= Equity / Total assets x 100) reaches 66%. 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 1.3 years of cash flow to repay all financial debt. This short period demonstrates excellent debt sustainability. Cash flow represents 9.5% 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 416.60. 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 7.4x. 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: 28 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 46 days. Favorable situation: supplier credit is longer than customer credit by 18 days. Inventory turnover is 198 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. 261.2 M€ to permanently finance. Over 2016-2024, WCR increased by +58%, requiring additional financing.

Based on 74 transactions of similar company sales (all years), the value of LABORATOIRES CLARINS is estimated at 33 698 559 € (range 15 938 239€ - 96 572 336€). With an EBITDA of 48 966 691€, the sector multiple of 0.6x is applied. The price/revenue ratio is 0.11x (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.
Medium reliability: estimate to be confirmed with in-depth analysis.