Australian Pharmaceutical Industries Limited (ASX:API) CEO and Managing Director, Stephen Roche discusses latest financial results and market opportunities at the ASX Spotlight Series 2016, New York So API Limited
(ASX:API) is effectively a 100-year old pharmaceutical wholesaler, which went public in 1997. It’s now an ASX listed 200 company, revenues of about 3.5 billion and a market capitalisation of just under $1 billion.
Fundamentally the focus of the company is with a retail brand that we own, called Priceline Pharmacy. It’s currently the leading health and beauty retailer by size in the country, with 425 stores. We quite directly market ourselves to women in Australia, where we have a loyalty program attached to that that represents nearly 20 per cent of the population. And we’re absolutely focused on delivering women the best advice, service and range that they’d expect in health and beauty, across the country.
Front of shop OTC (over the counter) health and beauty is about $9 billion. In size, growing at sort of an underlying current of about two per cent per annum. So with us having a revenue base of about $1.75 billion across the network, you can see that we’re sizeable, but we still have further opportunity for growth.
So the last 12 months for API was a record year. We had an increase in net profit after tax of over 37 per cent, with other metrics on a compound annual growth rate, EBIT at 15 per cent. Net profit after tax over the last three years, up 33 per cent, improved investment metrics with investment cover now 5.2 times. So all in all, it’s been a very good couple of years for API.
Ends
