PHARMACIE CENTRALE DE TAVERNY : revenue, balance sheet and financial ratios

In 2024, PHARMACIE CENTRALE DE TAVERNY achieves revenue of 2.5 M€. Over the period 2019-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +6.3%. Significant drop of -15% vs 2023. After deducting consumption (1.8 M€), gross margin stands at 651 k€, i.e. a rate of 26%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 90 k€, representing 3.6% of revenue. Warning negative scissor effect: despite revenue change (-15%), EBITDA varies by -65%, reducing margin by 5.2 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 105 k€, i.e. 4.2% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 141%. Debt level is high: negotiating margin with banks is reduced. Financial autonomy (= Equity / Total assets x 100) reaches 36%. The balance between equity and debt is satisfactory. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 12.9 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 3.9% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 91.81. 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 10.0x. 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: 6 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 51 days. Excellent situation: suppliers finance 45 days of the operating cycle (retail model). Inventory turnover is 44 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 51 days of revenue, i.e. 355 k€ to permanently finance.

Based on 225 transactions of similar company sales in 2024, the value of PHARMACIE CENTRALE DE TAVERNY is estimated at 1 184 626 € (range 875 434€ - 1 684 108€). With an EBITDA of 89 918€, 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.