POMPES FUNEBRES FUNERARIUM LEMARCHAND : revenue, balance sheet and financial ratios

In 2024, POMPES FUNEBRES FUNERARIUM LEMARCHAND achieves revenue of 6.1 M€. Activity remains stable over the period (CAGR: -0.2%). Significant drop of -15% vs 2022. After deducting consumption (691 k€), gross margin stands at 5.4 M€, i.e. a rate of 89%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 569 k€, representing 9.3% of revenue. Warning negative scissor effect: despite revenue change (-15%), EBITDA varies by -65%, reducing margin by 13.5 pts. This reflects costs rising faster than revenue. This level of operating margin is satisfactory for the sector. Net income is negative at -43 k€ (-0.7% of revenue), which will impact equity.

The debt ratio (= Financial debt / Equity x 100) stands at 17%. This very low level reflects a solid financial structure, offering significant room for future investments or acquisitions. Financial autonomy (= Equity / Total assets x 100) reaches 71%. 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 4.0 years of cash flow to repay all financial debt. This ratio remains within usual banking standards. Cash flow represents 3.2% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment.

The liquidity ratio (= Current assets / Current liabilities) stands at 255.19. 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 4.3x. 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: 43 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 58 days. Favorable situation: supplier credit is longer than customer credit by 15 days. Inventory turnover is 30 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 112 days of revenue, i.e. 1.9 M€ to permanently finance. Over 2015-2024, WCR increased by +158%, requiring additional financing.

Based on 108 transactions of similar company sales (all years), the value of POMPES FUNEBRES FUNERARIUM LEMARCHAND is estimated at 1 699 562 € (range 670 064€ - 3 420 615€). With an EBITDA of 568 588€, the sector multiple of 2.4x is applied. The price/revenue ratio is 0.36x (conservative valuation). 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.