Shoppers Drug Mart reports increase in pharmacy, same-store sales in Q2
BRAMPTOM, Ontario — Shoppers Drug Mart parent company Loblaw Cos. reported that the retail drug chain’s same-store sales were up 3.8% for the second quarter ended June 20.
Pharmacy same-store sales were up 3.9%, and front-end same-store sales increased 3.7% vs. the same period last year. Pharmacy sales for second-quarter 2015 totaled C$1.3 billion, while front-end sales reached C$1.4 billion.
In the pharmacy, prescriptions dispensed increased by 4.3% during the period. On a same-store basis, the number of prescriptions dispensed was up by 5%, but year-over-year, the average prescription value decreased by 0.5%. Generic drugs accounted for 64.6% of the prescriptions dispensed in second-quarter 2015, compared with 62.8% in second-quarter 2014.
"I am pleased with our overall performance in the second quarter, as we continued to execute well against our strategic framework," reported Galen Weston, president and executive chairman of Loblaw Companies Limited. "Looking ahead, the grocery industry remains highly competitive and healthcare reform continues to put pressure on our pharmacy business. We are well positioned to achieve earnings growth through a stable trading platform, incremental efficiencies, synergies and a stronger balance sheet."
Overall retail segment sales, including Shoppers Drug Mart and the food retailer Loblaw, totaled C$10.3 billion in second-quarter 2015, an increase of C$221 million compared with the second quarter of 2014. Food retail sales of C$7.6 billion were up by $141 million, or 1.9%, compared with the same period last year. Drug retail sales were up 3.1% to C$2.7 billion.
Loblaw opened 48 food and drug stores and closed 29 food and drug stores during the 12-month period ended June 20, with an additional two franchise food retail stores and 16 drug stores divested pursuant to a consent agreement with the Competition Bureau related to the acquisition of Shoppers Drug Mart, resulting in no change to square footage.