EBOS reports another record result and double-digit NPAT growth
Key highlights of the first half included:
- Revenue of $4.7 billion (up 6.3%);
- Statutory Net Profit after Tax (NPAT) of $92.9 million (up 13.7%);
- Underlying Net Profit after Tax (Underlying NPAT) of $94.3 million (up 14.2%);
- Interim dividend declared of NZ 42.5 cents per share (up 13.3%);
- Very strong performances from both our Healthcare and Animal Care segments, with Healthcare’s Underlying EBIT up 11.2% and Animal Care’s EBIT up 25.6%;
- Excellent operating cash flow of $98.7 million (up 33.0%);
- Acquisition of CH2’s vet distribution business for approximately $9 million, which further strengthens Lyppard’s market position in this sector. This adds to the previously announced acquisition of Cryomed, which further expands our medical devices business; and
- Further strengthening of our balance sheet, with Net Debt : EBITDA reducing to 1.00x (1.11x at June 2020). Following further refinancing initiatives in August 2020 and February 2021, EBOS has no debt maturities until 2H FY23.
EBOS Group Limited (“EBOS” or the “Group”) today announced another record result for the first half of the 2021 financial year, including double-digit NPAT growth.
In today’s results announcement, EBOS Chief Executive Officer, John Cullity said:
“It is pleasing to report another record profit for EBOS for the first half of FY21. Our double-digit earnings growth reflects a continuation of the strong first quarter momentum that we announced at our Annual Meeting in October 2020.”
“Both our Healthcare and Animal Care segments recorded very strong growth and contributed to the overall result. This again reinforces the strength of our diverse portfolio of businesses.”
“The growth of our Healthcare segment was pleasing given that it cycles and further builds upon our record result achieved in FY20, which was driven primarily by increased Community Pharmacy wholesale volumes. In this period, each of our Community Pharmacy, TerryWhite Chemmart (“TWC”), Institutional Healthcare and Contract Logistics businesses have contributed to the increase in earnings.”
“The Animal Care segment’s outstanding performance was driven by our Black Hawk, Vitapet, Accessory Products and Lyppard businesses all achieving double-digit sales growth. This was underpinned by the strength of our brands and market positions, combined with the strong tailwinds of the pet care market. COVID-19 has further accelerated these trends as people have spent more time at home with their pets.”
“EBOS has continued its strategy of investing for growth, with two acquisitions completed in the first half of the 2021 financial year. The Cryomed acquisition in the medical devices sector and the acquisition of CH2’s vet distribution business each strengthen our existing presence in those sectors and are EPS accretive to EBOS shareholders.”
