CHEMIST Warehouse Group (CWG) has announced record sales and margin expansion over the first six months of the 2024/25 financial year in a trading update.
Total Chemist Warehouse retail network sales for the six months to 31 Dec 2024 were $5.154 billion, up from $4.559 billion over the corresponding time period in 2023.
Sales growth over the period was 10.3%, compared to 8.9% the previous year.
"CWG has delivered a record result for the first half of the financial year, with double digit like-for-like retail network sales growth, aided by a strong trading performance in Dec," Chemist Warehouse CEO Mario Verrocchi said in a company statement.
"We have executed well on the commitments we made in Sep to deliver sustained growth though new franchise store openings and international expansion while implementing new supply agreements to drive efficiencies."
CWG opened 19 new stores in the half, including two in Dubai (PD 22 Oct 2024), which Verrocchi described as "a new geography with attractive opportunities".
He also pointed to good progress made in transitioning wholesale supply to Sigma "to drive efficiency gains" as well as the transformational Sigma merger, which is expected to be completed in Feb.
"We also successfully launched the new Messi men's fragrance which delivered strong sales during the period, demonstrating our ability to innovate and support partners' brands," Verrocchi said.
In addition, there was the launch of Wagner Pharma.
"We enter 2025 with confidence and look forward to further growth and network expansion."
Sigma and Chemist Warehouse shareholders are set to vote on the merger today. KB
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