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


Green Cross Health Limited Full Year Result Announcement

28 May 2014

Green Cross Health Limited Full Year Result Announcement

Green Cross Health (NZX:GXH), today reported a net profit of $15.0 million for the 12 months to 31 March 2014, an improvement of $2.0 million (15.6%) on the same period last year. The result was achieved on consolidated operating revenues of $257.9 million (2013: $248.5 million).

The company’s financial position is strong with a cash position, net of borrowings, of $16.0 million, $9.2 million up on last year.

Total assets of Green Cross Health are now $134.4 million (2013: $123.3 million) with total liabilities of $45.0 million (2013: $48.5 million).

"This is a very pleasing result,” said Peter Merton, Chairman of Green Cross Health. “Our profit growth has been achieved through improved performance of all business units together with contributions from new pharmacy and medical acquisitions.”

The Directors have resolved to pay a fully imputed final dividend of 3.5 cents per share to shareholders on the register as at 5pm on 11 June 2014. The dividend will be paid on 23 June 2014.The dividend reinvestment plan continues to operate.

The company’s name changed from Pharmacybrands to Green Cross Health to better reflect the greater diversity of the group and to signal the development of the business as a primary health care company.

“In time we would like Green Cross Health to be recognised as a quality mark that consumers can trust to help them manage their health needs,” Mr Merton commented.

“We believe the silo approach to care and funding in primary care is approaching its use by date. By having a range of services that span primary care we can develop better offerings to ensure the patient is at the centre of a coordinated care approach.”

The company’s growth as a provider of primary health care services was strengthened with $7 million invested in the acquisition of medical centres and pharmacies and, in March 2014, an investment in Auckland based community health care provider, Total Care Health Services.

Under the leadership of Grant Bai, who was appointed CEO in October 2013, activity was focused on brand consolidation, an enhanced consumer loyalty programme and reorganising the operations team to deliver improved in-store experience.

“We have rationalised our pharmacy brands from five to two - Life Pharmacy and Unichem - and relaunched our customer loyalty programme, Living Rewards. In future we envisage the Living Rewards loyalty programme applying across all our business units,” added Mr Merton.

The medical business continued to grow through appropriate equity acquisitions and expanding The Doctors brand across the medical group.

“The contribution to the group of our medical business is now substantial”, said Mr Merton. “We are confident that the platform we have established will create further opportunities for growth.”

In March 2014 the company invested in Total Care Health Services, a business offering predominantly nursing services to a mixture of private and government funded clients.

“We are pleased to have made our first move into this sector of the health care market. We intend to invest in further acquisition opportunities in this sector,” commented Mr Merton.
Over the last 12 months the company has been focused on structuring the business for future growth, improved sales and enhanced service offerings.

“We are confident that in time there will be opportunities for synergy across our pharmacy, medical and community health businesses,” said Mr Merton.

“We have the building blocks in place and the desire to turn Green Cross Health into a leading primary health care brand.”


© Scoop Media

Business Headlines | Sci-Tech Headlines


Trade: NZ Trade Deficit Widens To A Record In September

Oct. 27 (BusinessDesk) - New Zealand's monthly trade deficit widened to a record in September as meat exports dropped to their lowest level in more than three years. More>>


Animal Welfare: Cruel Practices Condemned By DairyNZ Chief

DairyNZ chief executive Tim Mackle says cruel and illegal practices are not in any way condoned or accepted by the industry as part of dairy farming.

Tim says the video released today by Farmwatch shows some footage of transport companies and their workers, as well as some unacceptable behaviour by farmers of dragging calves. More>>


Postnatal Depression: 'The Thief That Steals Motherhood' - Alison McCulloch

Post-natal depression is a sly and cruel illness, described by one expert as ‘the thief that steals motherhood’, it creeps up on its victims, hiding behind the stress and exhaustion of being a new parent, catching many women unaware and unprepared. More>>


DIY: Kiwi Ingenuity And Masking Tape Saves Chick

Kiwi ingenuity and masking tape has saved a Kiwi chick after its egg was badly damaged endangering the chick's life. The egg was delivered to Kiwi Encounter at Rainbow Springs in Rotorua 14 days ago by a DOC worker with a large hole in its shell and against all odds has just successfully hatched. More>>


International Trade: Key To Lead Mission To India; ASEAN FTA Review Announced

Prime Minister John Key will lead a trade delegation to India next week, saying the pursuit of a free trade agreement with the protectionist giant is "the primary reason we're going" but playing down the likelihood of early progress. More>>



MYOB: Digital Signatures Go Live

From today, Inland Revenue will begin accepting “digital signatures”, saving businesses and their accountants a huge amount of administration time and further reducing the need for pen and paper in the workplace. More>>

Oil Searches: Norway's Statoil Quits Reinga Basin

Statoil, the Norwegian state-owned oil company, has given up oil and gas exploration in Northland's Reinga Basin, saying the probably of a find was 'too low'. More>>


Modern Living: Auckland Development Blowouts Reminiscent Of Run Up To GFC

The collapse of property developments in Auckland is "almost groundhog day" to the run-up of the global financial crisis in 2007/2008 as banks refuse to fund projects due to blowouts in construction and labour costs, says John Kensington, the author of KPMG's Financial Institutions Performance Survey. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news