Dis-Chem releases Financial Results for the six months ended 31 August 2021

The retail pharmacy group, Dis-Chem, has today, 3 November 2021, reported revenue growth of 16.6%, to R14.9 billion, for the six months ended August 2021.

This was despite the group being affected by unrests that took place in KwaZulu-Natal and Gauteng provinces during the year.

“Our committed management and staff worked tirelessly, ensuring that three stores returned to regular trading within a month, while the final Dis-Chem store reopened on 7 October,” Dis-Chem said.

“The group is adequately insured to cover the losses incurred,” they added as the group reinforced commitment to help the country fight COVID-19.

There was a 35.3% increase in headline earnings per share (HEPS) to 48.7 cents per share. The group credits this growth to its growing market share and a resilient business model in the wake of the pandemic.

The group’s retail revenue increased by 16.0% to R13.2 billion, with comparable-store revenue at 6.8%. Dis-Chem has increased its store space in the past 12 months to August 2021, leading to the growth in retail sales revenue. Eighteen Dis-Chem and three Baby City stores were opened, resulting in 199 Dis-Chem and 35 Baby City stores by August 2021. In October 2021, the group opened its landmark 200th store.

Wholesale revenue increased by 17.3% to R10.9 billion. Wholesale total income grew by 11%, with the wholesale margin now at 7.5%.

Dis-Chem reported an operating profit of R758 million, up 24.8% compared to the previous comparable period. The group declared a dividend of 19.5 cents per share. Its share price was up 5.5% towards market close on Wednesday, 3 November.