PHARMACIE DE BURNHAUPT : revenue, balance sheet and financial ratios

In 2023, PHARMACIE DE BURNHAUPT achieves revenue of 5.6 M€. Over the period 2016-2023, the company shows strong growth with a CAGR (compound annual growth rate) of +11.6%. Vs 2022: +8%. After deducting consumption (4.3 M€), gross margin stands at 1.2 M€, i.e. a rate of 22%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 213 k€, representing 3.8% of revenue. Warning negative scissor effect: despite revenue change (+8%), EBITDA varies by -52%, reducing margin by 4.9 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 130 k€, i.e. 2.3% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 61%. Debt remains under control: the company retains capacity to raise new debt if needed. Financial autonomy (= Equity / Total assets x 100) reaches 51%. 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 6.1 years of cash flow to repay all financial debt. This ratio remains within usual banking standards. Cash flow represents 3.0% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 125.24. 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 4.5x. Financial charges are adequately covered by operations.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 4 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 37 days. Excellent situation: suppliers finance 33 days of the operating cycle (retail model). Inventory turnover is 26 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 29 days of revenue, i.e. 451 k€ to permanently finance. Over 2016-2023, WCR increased by +76%, requiring additional financing.

Based on 220 transactions of similar company sales in 2023, the value of PHARMACIE DE BURNHAUPT is estimated at 2 511 907 € (range 1 646 579€ - 3 198 659€). With an EBITDA of 212 574€, the sector multiple of 10.0x is applied. The price/revenue ratio is 0.69x (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.