PHARMACIE LA BELLEVILLOISE : revenue, balance sheet and financial ratios

In 2024, PHARMACIE LA BELLEVILLOISE achieves revenue of 1.7 M€. Activity remains stable over the period (CAGR: -1.4%). Slight decline of -1% vs 2023. After deducting consumption (1.2 M€), gross margin stands at 528 k€, i.e. a rate of 31%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 61 k€, representing 3.5% of revenue. Warning negative scissor effect: despite revenue change (-1%), EBITDA varies by -47%, reducing margin by 3.0 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 38 k€, i.e. 2.2% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 209%. Critical situation: debt significantly exceeds equity, severely limiting borrowing capacity and exposing the company to default risk. Financial autonomy (= Equity / Total assets x 100) reaches 29%. The balance between equity and debt is satisfactory. Debt repayment capacity (= Financial debt / Cash flow) indicates it would take 25.2 years of cash flow to repay all financial debt. Beyond 7 years, banks generally consider credit risk as high. Cash flow represents 2.6% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 178.47. 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 16.9x. 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: 48 days. Excellent situation: suppliers finance 39 days of the operating cycle (retail model). Inventory turnover is 54 days (= Average inventory / Cost of goods x 360). Overall, WCR represents 78 days of revenue, i.e. 375 k€ to permanently finance. Over 2016-2024, WCR increased by +840%, requiring additional financing.

Based on 225 transactions of similar company sales in 2024, the value of PHARMACIE LA BELLEVILLOISE is estimated at 716 019 € (range 533 865€ - 1 009 760€). With an EBITDA of 60 564€, 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.