Three results including two from yesterday – from Nufarm and Sigma Healthcare – confirm that the figures are historical and useless for assessing the company’s outlook for the rest of the year and into 2021 in the wake of the impact of COVID-19.Read More
Sigma Healthcare has downgraded FY20 operating earnings (EBITDA) guidance to $46-47m. This comes as of result of reclaiming the FMCG portion of the Chemist Warehouse contract and given the necessity to reinvest in the business.Read More
Underlying earnings (EBIT) were ahead of guidance in FY19, although UBS notes earnings quality was affected by restructuring costs and weak cash conversion. The company has indicated FY20 underlying operating earnings (EBITDA) will be $55-60m.Read More
Shares in Sigma Healthcare resisted early selling pressure yesterday after the pharmaceutical and health group revealed slightly better than expected results for the 2018-19 financial year.Read More
Sigma Pharmaceuticals has rejected the offer from Australian Pharmaceutical Industries ((API)). The company has reiterated its view that there is potential on a stand-alone basis with identified cost savings of over -$100m.Read More
Sigma Healthcare (SIG) shares slumped 15% at one stage yesterday after rejected a half-hearted takeover offer from rival Australian Pharmaceutical Industries (API).Read More
First half revenue was slightly weaker than expected. The main reasons were soft operating margins and higher costs for interest. The company has reiterated FY19 underlying EBIT guidance of $75m, which suggests to UBS that Sigma must now deliver a 45/55% earnings skew half on half to achieve this.Read More
Shares in Sigma Healthcare slumped 11% after yesterday after the drugs supply group revealed the cost of cleaning up the company’s structure after losing the lucrative Chemist Warehouse supply contract.Read More
Sigma Healthcare shares plunged 44% at one stage yesterday after it confirmed that it would not be continuing as a key supplier to the giant Chemist Warehouse chain in a new deal from July 1, 2019.Read More
Citi continues to believe the stock is overvalued relative to the ASX Industrials because of the structural challenges associated with the base business and the execution of its capital deployment plan.Read More
Lower sales amid a softer consumer environment plus the loss of a key customer saw Sigma Healthcare suffer fall in full-year underlying revenue and earnings for 2017-18 financial year.Read More
First half results were in line with the company’s previous downgrade. Trading EBIT fell -8.7%.Read More
Shares in pharmaceuticals and health products supplier Sigma Healthcare jumped more than 4% yesterday after the company met lowered guidance, revealed a new acquisition and reaffirmed it was on track for higher earnings in the next year.Read More
The trading update suggests lowered expectations for FY18 and Credit Suisse notes similar trading updates from competitors, highlighting softness in retail-facing sales.Read More
Shares in pharmaceuticals group Sigma Healthcare plunged almost 30% at one stage yesterday after the company revealed it had started legal action against My Chemist (MC), which owns the Chemist Warehouse (CW) brand.Read More
Sigma had pre-announced its result so yesterday’s report brought no surprises. Second half growth outperformed despite a difficult industry backdrop, the broker notes.Read More
Drugs distributor and pharmacy services firm Sigma Pharmaceuticals is one Australian company that should be poised to build on an already robust export performance into China following that country’s dramatic change of heart on e-commerce rules a week ago.Read More
With its first half results, Sigma Pharmaceuticals (SIP) is seen spearheading its entry into the hospital pharmacy market amid expectations it will annualise $200m in sales by the end of the year.Read More
Surprise on the upside and you will be rewarded, even in a dodgy market like yesterday and its nasty near 1% plus sell off.Read More
UBS reviews its outlook for the stock, taking into account the inclusion of Hep C vaccine sales. A 50% rally in the stock over the past three months has closed the value gap that existed at the FY16 result.Read More
Sigma Pharmaceuticals lifted final dividend 50%, from 2 cents to 3 cents a share, despite warning of slowing earnings growth over the next two years.Read More
Price target jumps to 96c from 71c while the Neutral rating has been retained after the company’s full year result slightly beat both Citi’s and market expectations. Guidance for at least 5% growth in the next two years is also better than market consensus, according to Citi.Read More
SigmaPharmaceuticals is paying an interim dividend of 2 cents a share (none previously) after lifting underlying half year profit as it becomes less reliant on revenue from the Pharmaceutical Benefits Scheme (PBS).Read More
Sigma’s full year result beat the broker on impressive organic growth despite ongoing PBS headwinds. Increased capital has allowed for the payment of a special dividend and FY16 is shaping up to be a particularly strong year for earnings growth, the broker suggests.Read More
Sigma has acquired pharmacy banner group Discount Drug Stores for $26.7m. The acquisition is considered strategically sensible and reasonably priced. The broker believes this is a better use of the balance sheet than the share buy-back at current prices.Read More
Sigma has acquired pharmacy banner group Discount Drug Stores, adding 121 pharmacies to its distribution network. The acquisition is expected to deliver higher incremental earnings in the range of $4.5-6.5m.Read More
SIP – BA-Merrill Lynch rates the stock as Neutral, High RiskRead More
SIP – Macquarie rates the stock as Upgrade to Outperform from NeutralRead More
Sigma shares have enjoyed a strong rally but Citi analysts believe it’s all a bit too much, too soon. Instead, they counter the company is still facing ongoing risks associated with a weak retail environment, competitive industry dynamics and ongoing regulatory scrutiny of PBS funding.Read More
FY numbers fell a bit shy of the broker, although Citi thought the performance was credible given the head winds presented by PBS reforms and the fact the company remains in investment mode.Read More
Interim earnings were slightly lower than Deutsche had forecast, but with a 10% share buyback announced, the broker has adjusted earnings estimates. Price target increases to $0.78 from $0.74.Read More
Despite its optimism, drugs maker and distributor Sigma Pharmaceuticals would probably wonder why its 2007 annual result was given a bit of a roughing up by the market yesterday.
The shares fell 8c to $2.55 despite signs the merger with Arrow Pharmaceuticals was paying off with a solid pipeline of new generic drugs, higher sales and margins and of course better profits.
Perhaps investors were taken aback by the ‘static’ in the result from the new accounting rules or perhaps the result had been well anticipated by last week’s short run up in the shares above $2.60 so some easy profits were taken.
The market overall was up by around half a per cent and the healthcare sector on the whole was better with small price rises for rivals Symbion (+1c to $3.71) and API (+6c to $2.12).
The outlook commentary seemed confident enough with SIP expecting underlying profit growth of 10 to 15 per cent for the 2007-08 financial year.
Sigma reported a full year net profit for 2006/07 of $101.8 million, which was down 2.9 per cent on the prior year but before tax earnings rose 34.1 per cent to $134.6 million, showing the impact of the Arrow merger which happened in December 2005.
According to some brokers the underlying result looked a bit short of pre-release estimates with some forecasting earnings up around the $120 million mark.
Sigma said the main reason for the decrease in net profit after tax (NPAT) was the impact of a significant item in the 2006 result.
As a result of Sigma’s merger with Arrow Pharmaceuticals, Sigma was required to restate tax values for various Sigma assets.