The Courier-Mail

PRE­SCRIP­TION FOR SUC­CESS

- JACINDA TUTTY

TERRY White Chemists has flagged more ac­qui­si­tions af­ter post­ing a bumper full-year re­sult.

The Bris­bane phar­macy group an­nounced a net profit of $1.2 mil­lion on the back of a 16 per cent in­crease in rev­enue to $48.8 mil­lion for the 2014-15 fi­nan­cial year.

Chief ex­ec­u­tive An­thony White said the past year had been “trans­for­ma­tional” for the com­pany fol­low­ing the suc­cess­ful ac­qui­si­tion of 60 Chemplus stores, boost­ing the group’s pres­ence to 224 stores na­tion­ally.

Mr White said he hoped in­creased re­tail sales would power prof­its mov­ing for­ward and hinted fur­ther ac­qui­si­tions of like-minded chains could be on the cards.

“With the Chemplus ac­qui­si­tions now com­plete we are ac­tively pur­su­ing our strat­egy to con­sol­i­date with other like­minded phar­macy brands,” he said.

“We ex­pect in­dus­try con­sol­i­da­tion will con­tinue in the short-to-medium term and we are well placed to take ad­van­tage of the op­por­tu­ni­ties for the greater ben­e­fit to our en­tire net­work.

“We are con­sis­tently achiev­ing above mar­ket like-for-like re­tail sales growth in our phar­ma­cies as a re­sult of the in­vest­ment we’ve made to grow our front-of­shop in­come and di­ver­sify rev­enue streams.”

Mr White flagged po­ten­tial is­sues, in­clud­ing price re­duc­tion rules and dis­counts to co-pay­ments, which high­lighted the need to di­ver­sify in­come.

The com­pany’s pri­vate la­bel has al­lowed the group to of­fer prod­ucts at com­pet­i­tive prices while de­liv­er­ing gen­er­ous mar­gins for fran­chisees and is likely to con­tinue to be a corner­stone of the prod­uct range.

Mr White also an­nounced that share­hold­ers had unan­i­mously re­solved to change the com­pany name to Terry White Group Lim­ited at an ex­tra­or­di­nary gen­eral meet­ing.

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