DIS-CHEM PREDICTS AN EXPECTED LEAP IN ITS ANNUAL EARNINGS OF ABOUT 30%

DIS-CHEM Pharmacies yesterday flagged that it expected an increase in its annual earnings of up to nearly 30 percent and was pleased with the performance considering a constrained consumer environment as well as challenges posed by the pandemic and the civil unrest last year. The share price rose 2.53 percent to R38.44 in intraday trade yesterday. The pharmaceutical group said for the 12 months ended February 2022, it was likely to announce earnings per share and headline earnings per share of between 96.9 cents and 100.8c – an increase of between 24.5 percent and 29.5 percent. Profit before tax would come in within a band of 28 to 33 percent better than the full year 2021, while profit after tax would show growth of between 27 to 32 percent. The unrest had a minor impact on the group’s Heps, the firm said, adding that Dis-Chem was adequately insured and expects a final pay-out of roughly R23.4 million from the South

African Special Risks Association full year 2023. “The successful integration of recent acquisitions as well as a continued focus on return on invested capital has enabled cash generation to outperform even the strong growth in profitability. This positions the group to take advantage of its longer-term strategic initiatives,” it said. Its results are expected out on May 23. |