American HealthCare Capital is pleased to introduce a highly reputable, full service dental laboratory for sale. After more than 30 years of operation, the opportunity is available for sale as two out of three partners are ready to sail into retirement.
As one of the very few large dental labs in the country with 100% in-house manufacturing and no offshore outsourcing, the Company is growing steadily year after year. The progressive leadership team has been at the forefront of digital workflow and made significant investments in modernizing the lab, including the addition of digital scanners and 3-D printers. The employed technology allows the technicians to improve operational efficiencies, reduce costs, speed up the turnaround time, and increase precision and accuracy leading to lower remake rates.
The Company recruits and retains existing clients through exceptional customer service and by offering onsite continuing dental education on the latest dental treatment techniques and protocols.
Gross revenues have seen steady growth since 2020 and the profit margins have stabilized in the range of 26-28% where is much higher than the industry average due to its stable and premium customers. The following table is the snapshot of the Company’s financials.
July 2020-June 2021 | July 2021-June 2022 | July 2022-June 2023 | July 2023-June 2024 | |
Total Income | 9,805,438.13 | 9,90,636.28 | 9,905171.77 | 11,150,000 |
Total COGS | 2,589,561.68 | 2,479,733.36 | 2,094,858.88 | 2,341,500 |
Gross Profit | 6,503,986.65 | 6,821,884.02 | 7,108,056.39 | 8,808,500 |
Adjusted Net Income | 3,648,200.81 | 2,674,735.90 | 2;638,507.18 | 2,950,000 |
Net Margin | 40.12% | 26.77% | 28.67% | 26.60% |
*Projection of Fiscal Year 2023
** Accounting is based on Cash. There is on average approximately $1.2 Million in Account Receivables.
The asking price for this opportunity is $22 million plus inventory, excluding any cash and accounts receivable. The current CEO is willing to continue working for a new strategic buyer and investor in his current role. At the same time, the other partners who are not presently active in the business will completely retire or be happy to take a consultant role if needed. The leadership team is open to up to 20% equity rollover or owner financing.