PHARMACIE BARBUSSE : revenue, balance sheet and financial ratios

In 2024, PHARMACIE BARBUSSE achieves revenue of 2.5 M€. Revenue is growing positively over 9 years (CAGR: +3.9%). Vs 2023: +7%. After deducting consumption (1.9 M€), gross margin stands at 597 k€, i.e. a rate of 24%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 25 k€, representing 1.0% of revenue. Warning negative scissor effect: despite revenue change (+7%), EBITDA varies by -78%, reducing margin by 3.9 pts. This reflects costs rising faster than revenue. The operating margin remains fragile, requiring cost vigilance. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 10 k€, i.e. 0.4% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 29%. 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 64%. 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 23.5 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 0.7% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 147.20. 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 30.0x. 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: 9 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 49 days. Excellent situation: suppliers finance 40 days of the operating cycle (retail model). Inventory turnover is 50 days (= Average inventory / Cost of goods x 360). Overall, WCR represents 59 days of revenue, i.e. 405 k€ to permanently finance. Over 2016-2024, WCR increased by +116%, requiring additional financing.

Based on 225 transactions of similar company sales in 2024, the value of PHARMACIE BARBUSSE is estimated at 616 586 € (range 491 837€ - 817 378€). With an EBITDA of 24 800€, the sector multiple of 9.2x is applied. The price/revenue ratio is 0.64x (in line with sector norms). 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.