Sigma Healthcare’s first-half results have garnered attention, with a Citi analyst noting performance broadly aligned with market consensus. Normalised EBIT reached $583 million, slightly below the consensus of $586 million but exceeding Citi’s own forecast of $554 million. Revenue and margins surpassed Citi’s projections, primarily fuelled by robust sales within Chemist Warehouse Australia. Sigma Healthcare distributes pharmaceuticals, health and beauty products, and provides pharmacy services, supporting healthcare providers and pharmacies across Australia and internationally. It recently merged with Chemist Warehouse enhancing its market position.
Key drivers included a 15 per cent increase in same-store sales in Australia, complemented by the addition of 13 stores to the Chemist Warehouse network. International markets demonstrated impressive growth, with New Zealand sales up 22.4 per cent and Ireland surging by 49.6 per cent, supported by 11 net store openings. The company’s $100 million synergy target remains on track, with $13 million already realised during the first half.
The interim dividend of 2 cents per share met expectations. Early trading in the second half indicates continued momentum, with same-store sales up 16.6 per cent. This promising start suggests a positive outlook for investors.
As of the latest update, shares were trading up by 0.8 per cent, reflecting market confidence in Sigma Healthcare’s performance and future prospects.
