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Dis-Chem Pharmacies reported revenue growth of 15.3% to R12.7 billion, in the 21 weeks from 1 September 2021 to 26 January 2022, compared to the corresponding period in the prior year.<\/p>\n
It comes against a backdrop of an accelerated migration of Medicare stores – acquired effective October 2021 – onto the group\u2019s common technology platform.<\/p>\n
\u201cWe continue to trade well, with market share gains across all core categories, supported by further normalisation in gross margins. This is being driven by a shift in consumer dynamics and a sustained return to regional shopping malls, where many mature Dis-Chem stores are located,\u201d said CEO Ivan Saltzman.<\/p>\n
Retail revenue increased by 15.5% to R11.4 billion over the corresponding period, with comparable sales growth at 5.5%, driven by the gradual return to shopping malls, it said.<\/p>\n
As a result of the less severe Omicron-variant fourth wave, and relative to the base which resulted during the more serious second-wave, sales growth of preventative healthcare products, including vitamins and nutraceuticals were muted during December and January, said Dis-Chem.<\/p>\n
As at 26 January, during the 21-week period Dis-Chem had administered 895,000 Covid-19 vaccine doses. The group said that following six months of high demand for vaccinations, the company has experienced subdued vaccination demand from early December 2021.<\/p>\n
During the 21-week reporting period, the group opened seven new Dis-Chem stores, contributing R75 million to retail revenue. The acquisition of the Medicare group effective 1 October 2021 added a further 49 additional stores to its store portfolio. The Group now has a store base of 290 stores, comprising 206 Dis-Chem stores, 49 Medicare and 35 Baby City stores.<\/p>\n
“Consistent with its strategy of having at least one primary healthcare clinic in every Dis-Chem store, the Group is on track for every Baby City store to have an operational Moms and Baby focused clinic by April 2022,” Dis-Chem said.<\/p>\n
Off a high base in the corresponding period, where shopping behaviours were directed online during the more serious second wave, online sales grew by 14.3%, it said.<\/p>\n
Wholesale revenue increased by 10.6% to R9.1 billion for the 21 weeks compared to the corresponding period, with sales to its retail stores increasing by 10.1%.<\/p>\n