Global Courant 2023-05-19 13:16:39
Dis-Chem, the healthcare chain and pharmacy group, has released its revised condensed consolidated full year results for the twelve months ended February 28.
The group said it was pleased with its performance as shopping patterns normalized following the Covid-19 pandemic.
During the year, the group said it continued to increase its pharmacy market share as South Africa’s largest retail pharmacy by increasing its pharmacy market share.
Earnings per share rose to 116.3 cents, an increase of 17.2%.
Total earnings per share also rose 17.4% to 116.5 cents per share.
The group declared a gross final cash dividend of 18.45305 cents per share – based on 40% of total earnings.
Other important financial data can be found below:
Total expenses (excluding depreciation) increased by 16.1% over the period.
The group said its early investment in generator capacity resulted in minimal challenge to its ability to trade, but increased load shedding pushed the group’s diesel costs up 65% to R91 million.
Dis-Chem is the latest major retailer to report a huge increase in its energy costs.
Pick n Pay divestment bill shoots past R500 million
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The group said it expects South Africans to continue to face major economic headwinds.
In addition, despite the group’s moves to address the divestment, it said operating costs will continue to impact earnings.
However, it said its integration into the healthcare value chain will bolster its current and future earnings profile.
As previously announced, co-founder Ivan Saltzman will step down as CEO at the end of June 2023, with current CFO Rui Morais succeeding him.
Saltzman will remain on the board as an executive director and will continue to serve as part of the active executive management.
“The recently announced succession implementation ensures a smooth leadership transition and ensures executive management’s commitment to delivering on the group’s long-term strategic ambitions.”
In addition, the group will acquire a 63,000 m² distribution center, which will further accelerate the growth of the group’s retail space, enabling it to double its current store count by adding warehouse capacity.
Read: Dis-Chem responds to outcry and boycott over ‘no whites’ letter
