An overview of API & PRICELINE’S COVID-19 response in the media.
SUPPLY CHAIN RESILIENT & STRONG HALF YEAR TO FEBRUARY 29, 2020. While COVID-19 has resulted in lower consumer sentiment; the pharmaceutical industry is one of the few industries that has seen an uptake in revenue. This is particularly true of Priceline revenue is up 2.8% to $2.0 billion. API boss, Richard Vincent, said pharmacy distribution had experienced a significant boost since COVID-19 shutdowns, “I’ve never seen our supply chain stretched the way it has been in the past seven weeks – and it’s absolutely shown resilience.” Priceline pharmacies and all company-owned stores are open, while online sales are up about 300 per cent as shoppers take advantage of click-and-collect and click-and-deliver options. Further, whilst foot traffic has slowed, basket size has gone up by about 4 per cent or 5 per cent with women doing more targeted shopping for personal care products such as hair colour. See below extract from the API Financial Report 2020:
“The Group’s financial position remains strong, and our net debt position reduced significantly over the period as a result of both the proceeds from the sale of Sigma Healthcare shares and from improved working capital being applied to debt reduction. Despite challenging retail conditions and consumer sentiment, Priceline held market share and Pharmacy Distribution reflected growth from new business gained. Consumer Brands outlook remains positive with a pipeline of new business, and Clear Skincare was accelerating its expansion prior to COVID-19.” And yet, API seems determined to take advantage of every COVID-19 related write-off; withholding interim dividends and seeking rent reductions from landlords – despite COVID 19 related revenue boost and a solid half-year to February 29, 2020.
NO INTERIM DIVIDEND DESPITE “SOLID OUTCOME”
– Australian Financial Review, April 23, 2020
Vincent said API remained well placed amid a low growth environment but declined to give firm guidance for the year given impacts of the COVID-19 pandemic. Mr Vincent called the first half “a solid” outcome in challenging conditions.
VINCENT IDENTIFIES MORE CONTROL & LESS REGULATION AS THE MOST DESIRABLE CONDITIONS FOR THE PHARMA GIANT.
This is bad news for franchisees’ who are already subject to a franchise agreement, which contains controlling provisions alleged to contravene State Legislation. API Boss Vincent is effectively announcing API and Priceline’s intention to push for additional control over the retail arm of your pharmacy.
API WITHHOLDS INTERIM DIVIDEND AND SEEKS RENT RELIEF DESPITE COVID-19 REVENUE BOOST
Priceline have stunned their landlords by proposing massive rent reductions despite being one of the few retail groups to trade strongly during the pandemic.
API LABELED DISGRACEFUL OVER ATTEMPTS AT RENT RELIEF
An overview of API & PRICELINE’S COVID-19 response in the media.
SUPPLY CHAIN RESILIENT & STRONG HALF YEAR TO FEBRUARY 29, 2020. While COVID-19 has resulted in lower consumer sentiment; the pharmaceutical industry is one of the few industries that has seen an uptake in revenue. This is particularly true of Priceline revenue is up 2.8% to $2.0 billion. API boss, Richard Vincent, said pharmacy distribution had experienced a significant boost since COVID-19 shutdowns, “I’ve never seen our supply chain stretched the way it has been in the past seven weeks – and it’s absolutely shown resilience.” Priceline pharmacies and all company-owned stores are open, while online sales are up about 300 per cent as shoppers take advantage of click-and-collect and click-and-deliver options. Further, whilst foot traffic has slowed, basket size has gone up by about 4 per cent or 5 per cent with women doing more targeted shopping for personal care products such as hair colour. See below extract from the API Financial Report 2020:
“The Group’s financial position remains strong, and our net debt position reduced significantly over the period as a result of both the proceeds from the sale of Sigma Healthcare shares and from improved working capital being applied to debt reduction. Despite challenging retail conditions and consumer sentiment, Priceline held market share and Pharmacy Distribution reflected growth from new business gained. Consumer Brands outlook remains positive with a pipeline of new business, and Clear Skincare was accelerating its expansion prior to COVID-19.” And yet, API seems determined to take advantage of every COVID-19 related write-off; withholding interim dividends and seeking rent reductions from landlords – despite COVID 19 related revenue boost and a solid half-year to February 29, 2020.
NO INTERIM DIVIDEND DESPITE “SOLID OUTCOME”
– Australian Financial Review, April 23, 2020
Vincent said API remained well placed amid a low growth environment but declined to give firm guidance for the year given impacts of the COVID-19 pandemic. Mr Vincent called the first half “a solid” outcome in challenging conditions.
VINCENT IDENTIFIES MORE CONTROL & LESS REGULATION AS THE MOST DESIRABLE CONDITIONS FOR THE PHARMA GIANT.
This is bad news for franchisees’ who are already subject to a franchise agreement, which contains controlling provisions alleged to contravene State Legislation. API Boss Vincent is effectively announcing API and Priceline’s intention to push for additional control over the retail arm of your pharmacy.
API WITHHOLDS INTERIM DIVIDEND AND SEEKS RENT RELIEF DESPITE COVID-19 REVENUE BOOST
Priceline have stunned their landlords by proposing massive rent reductions despite being one of the few retail groups to trade strongly during the pandemic.
API LABELED DISGRACEFUL OVER ATTEMPTS AT RENT RELIEF
