Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Green Cross Health boosts FY profit 14%, eyes expansion

Green Cross Health boosts annual profit 14%, eyes more acquisitions

By Suze Metherell

May. 27 (BusinessDesk) - Green Cross Health, which changed its name from Pharmacy Brands earlier this year as it expands into the primary health sector, boosted annual profit 14 percent as its new pharmacy and medical acquisitions came on stream.

Profit rose to $18.8 million in the year ended March 31, of which non-controlling interests were entitled to $3.8 million, from $16.6 million a year earlier, the Auckland-based company said in a statement. Sales rose 3.8 percent to $258 million, outpacing a 1.2 percent lift in the cost of sales to $146 million.

Prior to the name change in March, it had largely been seen as a retail pharmacy operating the Unichem, Amcal, Life Pharmacy, Radius and Care Chemist brands and running 28 medical centres. Green Cross Health is chasing growth through acquisitions in the primary healthcare sector, and bought a 50 percent share of Total Care Health Services in March, its first expansion into community healthcare. The company has consolidated its five pharmacy brands down to Life Pharmacy and Unichem, and relaunched its reward programme, Living Rewards, which it said it wants to expand across all business units.

"We intend to invest in further acquisition opportunities in this sector," Peter Merton, chairman of the group said of the Total Care Health acquisition. "In time there will be opportunities for synergy across our pharmacy, medical and community health businesses."

Sales at its pharmacies rose to $223.9 million from $221.7 million a year earlier. Medical centre sales nearly doubled to $9.5 million from $5.7 million and income from services provided to stores and medical centres rose to $24.5 million from $21 million.

"Our profit growth has been achieved through improved performance of all business units together with contributions from new pharmacy and medical acquisitions," Merton said. "The contribution to the group of our medical business is now substantial. We are confident that the platform we have established will create further opportunities for growth."

The board declared a final dividend of 3.5 cents per share, payable on June 23 with a record date of June 11, taking the annual dividend to 7 cents per share, up from 5 cents a year earlier.

Shares in the NZX-listed healthcare group rose 1.5 percent to $1.35, and have advanced 6.4 percent this year, just beating the NZX All Index's 6 percent gain over the same period.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Sky City : Auckland Convention Centre Cost Jumps By A Fifth

SkyCity Entertainment Group, the casino and hotel operator, is in talks with the government on how to fund the increased cost of as much as $130 million to build an international convention centre in downtown Auckland, with further gambling concessions ruled out. The Auckland-based company has increased its estimate to build the centre to between $470 million and $530 million as the construction boom across the country drives up building costs and design changes add to the bill.
More>>

ALSO:

RMTU: Mediation Between Lyttelton Port And Union Fails

The Rail and Maritime Union (RMTU) has opted to continue its overtime ban indefinitely after mediation with the Lyttelton Port of Christchurch (LPC) failed to progress collective bargaining. More>>

Earlier:

Science Policy: Callaghan, NSC Funding Knocked In Submissions

Callaghan Innovation, which was last year allocated a budget of $566 million over four years to dish out research and development grants, and the National Science Challenges attracted criticism in submissions on the government’s draft national statement of science investment, with science funding largely seen as too fragmented. More>>

ALSO:

Scoop Business: Spark, Voda And Telstra To Lay New Trans-Tasman Cable

Spark New Zealand and Vodafone, New Zealand’s two dominant telecommunications providers, in partnership with Australian provider Telstra, will spend US$70 million building a trans-Tasman submarine cable to bolster broadband traffic between the neighbouring countries and the rest of the world. More>>

ALSO:

More:

Statistics: Current Account Deficit Widens

New Zealand's annual current account deficit was $6.1 billion (2.6 percent of GDP) for the year ended September 2014. This compares with a deficit of $5.8 billion (2.5 percent of GDP) for the year ended June 2014. More>>

ALSO:

Still In The Red: NZ Govt Shunts Out Surplus To 2016

The New Zealand government has pushed out its targeted return to surplus for a year as falling dairy prices and a low inflation environment has kept a lid on its rising tax take, but is still dangling a possible tax cut in 2017, the next election year and promising to try and achieve the surplus pledge on which it campaigned for election in September. More>>

ALSO:

Job Insecurity: Time For Jobs That Count In The Meat Industry

“Meat Workers face it all”, says Graham Cooke, Meat Workers Union National Secretary. “Seasonal work, dangerous jobs, casual and zero hours contracts, and increasing pressure on workers to join non-union individual agreements. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news