PHARMACIE MALLET : revenue, balance sheet and financial ratios

In 2024, PHARMACIE MALLET achieves revenue of 2.5 M€. Over the period 2016-2024, the company shows strong growth with a CAGR (compound annual growth rate) of +6.9%. Slight decline of -10% vs 2023. After deducting consumption (1.7 M€), gross margin stands at 789 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 214 k€, representing 8.5% of revenue. Warning negative scissor effect: despite revenue change (-10%), EBITDA varies by -28%, reducing margin by 2.2 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 157 k€, i.e. 6.2% 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 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 4.9 years of cash flow to repay all financial debt. This ratio remains within usual banking standards. Cash flow represents 6.3% 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 341.04. 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 1.5x. 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: 2 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 39 days. Excellent situation: suppliers finance 37 days of the operating cycle (retail model). Inventory turnover is 40 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 53 days of revenue, i.e. 367 k€ to permanently finance. Over 2016-2024, WCR increased by +93%, requiring additional financing.

Based on 225 transactions of similar company sales in 2024, the value of PHARMACIE MALLET is estimated at 1 910 870 € (range 1 358 166€ - 2 803 121€). With an EBITDA of 214 474€, 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.