HALF-YEAR financial results for pharmaceutical wholesaler, Australian Pharmaceutical Industries (API) reveal an 11.5% fall in earnings before interest and tax to $39.3 million, with register sales from its Priceline Pharmacy network down 1.8% for the six months to 29 Feb.
In a statement to the Australian Securities Exchange (ASX), API Chair, Mark Smith, noted that the Priceline retail group had grown to 488 stores - a net increase of nine on the prior corresponding period.
"Whilst maintaining marketshare, Priceline Pharmacy network's overall total register sales were down 1.8% to $89 million," he said.
"This result reflects the challenging retail conditions, bushfires and declining consumer sentiment across the Australian retail market in the six months to Feb."
Smith added that the Priceline group had spent the last six months "resetting its strategy to strengthen its health offering", completing the roll-out of its click-and-collect service and trialling a click-and-deliver option.
While the company's retail business experienced challenging times over the first half of the 2020 Financial Year, API's distribution revenue grew by 4.8% on H1 FY2019.
"The focus on higher margin business, to win new customer groups and on growing our banner brands and retail services is succeeding," he said.
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