By Adriano Marchese
Neighbourly Pharmacy on Tuesday reported a widened loss in its second fiscal quarter, while new additions to its pharmacy network helped grow revenue.
For the three months ended Sept. 9, the Canadian network of community pharmacies reported a net loss of 10.2 million Canadian dollars ($7.5 million), or C$0.23 a share, compared with a profit of C$134,000, or nil per share a year earlier.
On an adjusted basis, earnings rose a penny to C$0.13 a share. According to FactSet, analysts were expecting decline to C$0.11 a share.
Revenue in the period rose nearly 14% to C$203.2 million, in line with analyst expectations. Same-store sales growth was 4%, but Neighbourly said that 75% of the growth in revenue this quarter was driven by pharmacies acquired in the past 12 months.
Earlier in the month, Neighbourly signed a preliminary agreement with Canadian private equity firm Persistence Capital Partners to be bought out at C$20.50 a share. Persistence Capital was already an owner with a stake of about 50.2% of Neighbourly’s shares prior to the announcement.
Write to Adriano Marchese at [email protected]
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