PHARMACIE HELOVAL : revenue, balance sheet and financial ratios

In 2024, PHARMACIE HELOVAL achieves revenue of 3.1 M€. Over the period 2017-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +10.0%. Vs 2023: +7%. After deducting consumption (2.3 M€), gross margin stands at 810 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 272 k€, representing 8.7% of revenue. Warning negative scissor effect: despite revenue change (+7%), EBITDA varies by -17%, reducing margin by 2.5 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 209 k€, i.e. 6.6% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 41%. Debt remains under control: the company retains capacity to raise new debt if needed. Financial autonomy (= Equity / Total assets x 100) reaches 63%. 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 3.0 years of cash flow to repay all financial debt. This ratio remains within usual banking standards. Cash flow represents 6.7% 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 335.65. 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 1.2x. Coverage is limited: any activity downturn would jeopardize interest payments.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 1 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 35 days. Excellent situation: suppliers finance 34 days of the operating cycle (retail model). Inventory turnover is 25 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 22 days of revenue, i.e. 196 k€ to permanently finance. Over 2017-2024, WCR increased by +95%, requiring additional financing.

Based on 225 transactions of similar company sales in 2024, the value of PHARMACIE HELOVAL is estimated at 2 441 326 € (range 1 733 678€ - 3 583 877€). With an EBITDA of 272 010€, 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.