Firstquarter earnings boost EBOS
AUCKLAND: Shares in EBOS Group rallied after the Australasian distributor of healthcare products said its earnings gained 15% in the first quarter.
However, it said there was no certainty this would last until June 30.
‘‘Trading for the first quarter of 2021 has seen the group continue to record impressive growth with group revenue for the first quarter above last year by 6.5%,’’ chief executive John Cullity told Tuesday’s annual meeting.
‘‘Growth in underlying ebitda and net profit for the first quarter is above last year by 9% and 15% respectively. We are very aware of the unpredictable environment we are all experiencing so it’s pleasing that our firstquarter results are positive . . . However, there can be no certainty that growth will continue at these levels for the remainder of the year.’’
Mr Cullity said it was too early for forward earnings guidance.
The group had significant scale, leading market positions and a strong balance sheet, and was well placed to respond to any challenges, he said.
EBOS posted a net profit after tax of $A162 million ($NZ175.1 million) for the past financial year, up 18% from a year earlier.
Salt Funds managing director Matt Goodson said the update was better than expected.
‘‘With the firstquarter profit up 15%, yearonyear, EBOS has obviously been trading well.’’
Mr Cullity told the meeting the company’s healthcare business experienced unprecedented demand in March due to Covid19.
At that time, the company’s Australian wholesale business, Symbion, along with the other members of the National Pharmaceutical Services Association, distributed more than 70 million statesubsidised medicines across Australia — 70% up from the same time last year.
Over the same period, the animal care business also continued to make a strong contribution.
EBOS’ businesses then experienced lower levels of trading in the final quarter of 2020, because of Covid19 control measures.
However, the company said trading conditions generally returned to normal in June. — The New Zealand Herald