Dis-Chem earnings jump as it shakes off Covid

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Pharmacy and healthcare retail group Dis-Chem says it is trading at pre-Covid levels in South Africa, with expansions and acquisitions boosting its reach and driving profitability.

In its interim results for the six-month period ending 31 August 2022, Dis-Chem reported group revenue growth of 9.3% to R16.3 billion over the corresponding half-year period.

“With consumer shopping habits and routines just about restored to pre-Covid levels, we have experienced a normalisation in our operating environment for the first time in over two years,” said Dis-Chem chief executive officer, Ivan Saltzman. “Work has commenced on replicating our leading pharmacy market share in Gauteng, across other provinces. In this regard, we continue to innovate to realise our vision of integrated primary healthcare, aimed at increasing access, reducing cost and delivering better health outcomes for more South Africans,” he said.

When excluding wholesale revenue to Medicare stores in the prior period , external revenue grew by 20.4%, comprising independent pharmacy growth of 15.8% and TLC growth of 22.5%. Retail total income grew by 19.1%, with the retail margin increasing from 27.7% to 30.2% over the comparable period.

 

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