SIGMA HEALTHCARE LIMITED Sigma Healthcare has significantly improved our operational performance over the last 12 months, returned to profit and are confident in our ability to win back the trust and confidence of customers.
On Monday 17 April 2023, we released our 2023 Annual Report for the 12 months to 31 January 2023. CEO and Managing Director, Vikesh Ramsunder noted that the year had seen Sigma simplify our business model, stabilise our ERP system, renew the leadership team, reduce debt, and return to profit. He also outlined a new strategy including the consolidation of our retail brands around the Amcal and Discount Drug Stores banners.
"While this strategy may be disruptive short term, building scale in two brands will enable Sigma to better support the brands and drive foot traffic by engaging with customers, suppliers and pharmacists. Moving forward, it will also help underpin our expansion into health, beauty and wellness categories, including an expanded private and exclusive label product offering, which is an important part of our longer term strategy," Vikesh said. Vikesh also highlighted the consolidation of Sigma's independent pharmacy offering under the PriceSave initiative which launched in February 2023 and now has more than 400 active members.
Over the past year, our operations team have done a tremendous job to reduce complexity thereby improving operational efficiencies, improve stock management, and enhance customer service levels. The shareholder update highlighted a 2.2% increase in wholesale sales to community pharmacy over the year despite the ERP implementation issues encountered early in the first half.
With those matters now in the past, "January 2023 data has shown positive signs, with Sigma growing sales at a rate well above average market growth rates," he said. The revised franchise brand strategy has seen Sigma's Merchandise team consolidated in the Melbourne Support Centre using a category-focused model in which each team is responsible for full end-to-end product decisions. The new operating model delivers a more efficient structure, an improved retail focus and incorporates Private Label in all aspects of planning and execution.
The Annual Report also highlights the performance of the MPS Connect medication management platform which recorded a 17.5% uplift in packed patients over the year.
We are now focused on actively pursuing opportunities to leverage the capacity and capability we have created to deliver customer service excellence and ultimately enhance shareholder returns. We have rebuilt our infrastructure, reset the business and re-energised our teams; thereby providing a platform to grow Sigma over the long term.
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Sigma Healthcare Limited published this content on 21 April 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 21 April 2023 12:09:17 UTC.
