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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