McKesson Europe : Annual Report 2022 (PDF 2.6 MB)

McKesson Europe AG

Annual Report 2022

Annual Report

McKesson Europe AG Financial 2022

01

02

To our shareholders

006 The Supervisory Board

007 Report of the Supervisory Board

Combined management report

1. Background of the group/business activity and organisation

1. Market and strategy

1. Economy
2. Revenue and earnings development

1. Division Retail Pharmacy

1. Division Pharmaceutical Distribution

1. Financial position

1. Asset position

1. McKesson EU AG financial statement (Holding)

1. Employees

1. Research and development
2. Overall picture of the economic situation
3. Risk and opportunities report

1. Outlook

03	Consolidated financial statement
048	Group income statement
049	Group statement of comprehensive income
050	Group statement of financial position
052	Group statement of cash flows
054	Group statement of changes in equity
	Notes to the consolidated financial statements
056	Group segment reporting
060	General disclosures
075	Notes to the group income statement
082	Notes to the group statement of financial positions
122	Notes to the group statement of cash flows
124	Notes to the group segment reporting
	Other disclosures
125	Other notes
130	Company boards
04	Other information
136	Audit opinion
141	Contacts and imprint

McKesson Europe

McKesson Europe AG, 94,97% owned by McKesson Corporation, and its subsidiaries are a leading business in the healthcare sector, with strong brands across 10 European countries. McKesson Corporation, originally founded in 1833, is a global leader in healthcare supply chain management solutions, retail pharmacy, community oncology and specialty care, and healthcare information solutions. McKesson partners with life sciences companies, manufacturers, providers, pharma- cies, governments, and other healthcare organizations to help provide the right medicines, medical products, and healthcare services to the right patients at the right time, safely, and cost-effectively.

United by our ICARE (Integrity, Customer First, Accountability, Respect and Excellence) shared principles, our employees work every day to innovate and deliver opportunities to improve patient care in every setting - one product, one partner, one patient at a time. For more information visit www.mckesson.eu.

In July 2021, McKesson Corporation announced its intention to exit its businesses in Europe. On July 7, 2021, McKesson Corporation announced that it had entered into an agreement to sell its European businesses in France, Italy, Ireland, Portu- gal, Belgium, and Slovenia to the PHOENIX group. This transaction also includes McKesson Europe AG headquarters in Stuttgart, Recucare GmbH, its German wound-care business, its shared services center in Lithuania, and its 45% ownership stake in Brocacef, the McKesson Europe AG's joint venture in the Netherlands. The transaction is expected to close in the second half of fiscal 2023, subject to customary closing conditions, including receipt of required regulatory approvals.

McKesson Europe AG businesses that are not included in the scope of the PHOENIX agreement will or have been sold to a third party or to another McKesson company prior to the transaction with the PHOENIX group. McKesson Europe AG divested the following business units in the financial year 2022.

On January 31, 2022, McKesson Europe AG sold its 30% ownership interest in Alliance Healthcare Deutschland GmbH to Alliance Healthcare Deutschland Holding 1 GmbH, Frankfurt/Main.

On January 31, 2022, Admenta Deutschland GmbH, a wholly-owned subsidiary of McKesson Europe AG, sold its subsidiaries and investments in Austria (including Switzerland and Czech Republic) to Quadrifolia Beteiligungs GmbH, Wien.

On March 23, 2022, McKesson Europe AG sold its subsidiary and investments in the UK to McKesson Global Procurement & Sourcing Limited (MGPSL). The transaction included the sale of Admenta Beteiligungs GmbH, its subsidiaries and other investments. On April 6, 2022, McKesson Global Procurement & Sourcing Limited sold Admenta UK Limited, and its subsidiaries and other investments, which were previously acquired from McKesson Europe AG, to the pan-European asset management group Aurelius Elephant Limited, London.

As the McKesson Europe AG subsidiaries, Admenta Denmark ApS and Inten GmbH, are not included in the PHOENIX transaction scope, they will be sold by McKesson Europe AG prior to the closing of the transaction with the PHOENIX group.

McKesson Europe has operations in 9 countries and manages wholesale and pharmacy operations wholly owned by McKesson Corporation in Norway and Ireland.

The Pharmaceutical Distribution business functions as a vital link connecting manufacturers to retail pharmacies by supplying medicines and other products sold in pharmacies. Pharmaceutical and other healthcare-related products are stored at regional wholesale branches using technology-enabled management systems. Our business leverages its scale and provides innovative and effective medical care services to create enhanced customer value. We operate Pharmaceutical Distribution businesses in France, Belgium, Portugal, Slovenia, Italy & Denmark. Also, the German based Recucare business is part of the Pharmaceutical Distribution division.

Retail Pharmacy serves patients and consumers directly through our own pharmacies and franchise pharmacies. The Lloyds Pharmacy brand operates in Belgium, Ireland and Italy. In addition, we partner with independent pharmacies under our franchise program and are involved in an associated company in the Netherlands.

The fiscal year at a glance (01/04/2021 - 31/03/2022)

Change on

EUR basis

KEY FIGURES OF MCKESSON EUROPE

Continuing operations

Revenue

Gross profit

adjusted 1)

EBIT

adjusted 1)

Profit before taxes

adjusted 1)

Net profit/loss

adjusted 1)

Earnings per share (basic)

Earnings per share (basic), adjusted 1)

Cash inflow from operating activities

Net cash flow from investing activities

Free cash flow

Employees (full-time equivalent) 2)

Retail pharmacies 2)

Wholesale branches 2)

Discontinued operations

Net profit/loss

Earnings per share (basic)

Employees (full-time equivalent) 2)

Continuing and discontinued operations Total assets

Equity

Equity ratio

Net financial debt (Financial liabilities net cash)

Net Financial Debt/EBITDA adj. 1) 3)

Employees (full-time equivalent) 2)

Employees 2)

Net profit/loss for the period

Earnings per share (basic)

			Fiscal 2021 4)		Fiscal 2022
EUR m		8,517.7			9,257.1
EUR m	752.5		799.0
EUR m		752.5			799.0
EUR m		12.5			- 46.3
EUR m	69.9			57.6
EUR m			21.1			- 35.1
EUR m		78.3			68.8
EUR m	6.2			- 49.4
EUR m		51.6			51.4
€			0.01			- 0.27
€			0.24		0.23
EUR m			168.3			167.9
EUR m		195.2			- 4.7
EUR m	349.8		150.0
			6,686			6,535
			1,749			410
			90			59
EUR m		- 13.5		- 818.0
€		- 0.07			- 4.03
			14,506			273
EUR m		7,047.3 ²			5,102.1 ²
EUR m	1,900.5 ²		2,519.8 ²
%			27.0 ²			49.4 ²
EUR m		28.2 ²			- 1,717.5 ²
		0.22 ²			- 15.1 ²
			21,192			6,808
			27,618			7,914
EUR m		- 7.3		- 867.4
€			- 0.05		- 4.29

%

8.7

6.2

6.2

-

- 17.6

-

- 12.1

-

- 0.4

-

- 3.5

- 0.2

-

- 57.1

/

/

/

>- 100

>- 100

/

- 27.6

32.6

/

-

-

/

/

>- 100

>- 100

1. Adjusted for special effects from defined non-recurring expenses and income (including tax effect), incl. goodwill impairments.
2. Closing figures at the end of the reporting period.
3. Based on EBITDA of the last twelve months ending on the respective reporting date.
4. The amounts for fiscal 2021 were restated according to IFRS regulations for discontinued operations to allow comparison to the previous year.