Sigma Healthcare (SIG) investor relations material

Executive summary

• FY25 normalised revenue rose 82% to $6.0B, with pro-forma revenue at $9.6B, reflecting merger and network expansion.

• Normalised EBIT increased 41% to $835M, and NPAT attributable to owners rose 40% to $579M.

• Chemist Warehouse retail network sales reached $10.3B, up 14% year-over-year, with 35 new stores added, expanding to 674 stores globally.

• Own and exclusive label product sales grew over 20%, with combined distribution center volumes up 29%, reducing cost per unit by $0.11.

• Synergy target upgraded to $100M per annum by year four, with most savings expected in years three and four post-merger.

Financial highlights

• Pro-forma EBIT reached $903.4M, with pro-forma revenue at $9.59B, up 44% year-over-year.

• Gross profit improved to $1.45B, with gross profit growth outpacing cost growth.

• Cash conversion was high, with pre-tax operating cash flow at $693M and net operating cash post-tax at $599M.

• Net debt at June 30 was $752M, below expectations, and a $1.5B debt facility is in place to 2028.

• Final dividend of $0.13 per share, fully franked, declared, with payout ratio maintained at 50%-70% of NPAT.

Outlook and guidance

• Positive momentum continues into FY26, with double-digit like-for-like Chemist Warehouse retail sales growth year-to-date.

• Focus on seamless integration, continued domestic and international store rollout, and extracting $100M in synergies over four years.

• CapEx and D&A expected to remain consistent, with potential investments in international distribution centers.