3rd quarter: PHOENIX achieves growth in revenue and profit

• First three quarters generate substantial increase in earnings
• New distribution and logistics centre opened in Germany
• Goodwill pharmacy chain acquired in Serbia

The PHOENIX group continued to develop profitably in the first nine months of the fiscal year 2017/18 (February to October 2017). The total operating performance significant for pharmaceutical wholesale rose by 4.7 per cent compared with the same period of the previous year to €23.4 billion. Adjusted for foreign exchange rate effects, the increase amounted to 5.1 per cent. Group revenue grew by 2.6 per cent (adjusted for foreign exchange rate effects: 3.0 per cent) to €18.5 billion. The healthcare provider recorded a rise in revenue in the Northern and Western European markets in particular.

In the first three quarters, the company increased its total income by around 5.1 per cent to over €1.9 billion. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) grew clearly in the first nine months by €27.7 million to €322.3 million – an increase of 9.4 per cent. Profit after tax also rose significantly by 27.9 per cent to €136.2 million (comparison period: €106.5 million). “The first three quarters of the fiscal year 2017/18 underline the good market position of the PHOENIX group as a leading healthcare provider in Europe,” summarised Oliver Windholz, Chief Executive Officer of the PHOENIX group.

The financial result improved to €−31.6 million, compared with €−33.3 million in the comparison period. As at 31 October 2017, equity stood slightly above the previous year’s value, at €2.78 billion. The equity ratio amounted to 32.5 per cent.

New distribution centre in Germany; expansion in Serbia

In October 2017, PHOENIX opened a new distribution and logistics centre in Gotha, Germany. The site covering more than 10,000 square metres supplies pharmacies in Thuringia, Saxony, and Saxony-Anhalt. “Thanks to our state-of-the-art building in Gotha, we are now able to supply our customers with medicines even more quickly and reliably. By doing so, we aim to promote the position of local individual pharmacies,” said Windholz.

In November 2017, PHOENIX announced the acquisition of the Serbian pharmacy chain Goodwill Apoteka. Following the takeover of Goodwill’s owner, Inter Pharma d.o.o., PHOENIX acquired 138 pharmacies with more than 500 employees. The transaction is subject to the approval of the Serbian competition authorities. As a result of the acquisition, over 300 Serbian pharmacies will operate under the PHOENIX group’s BENU brand. “This substantially strengthens our leading position in the Serbian pharmacy market,” continued Windholz.

Positive forecast for fiscal year 2017/18

For 2017/18 as a whole, the company aims to expand its market position in Europe. “As a result of our organic growth and following targeted acquisitions, we expect the PHOENIX group to achieve a clear increase in revenue and result,” explained CEO Oliver Windholz on presenting the quarterly figures.

Key figures of the PHOENIX group compared with the same period of the previous year

(Balance sheet date 31/10/2017)

¹ Total operating performance = revenue + handled volume (handling for service charge).
² Total income = gross income + other operating income.
³ As at reporting dates 31/10/2016 and 31/10/2017.

Downloads

• Quarterly report February to October 2017