Business
Shoppers Drug Mart Corporation announces strong third quarter results
Shoppers Drug Mart Corporation announces strong third quarter results.
About this update from Serrano Resources Ltd.
[{"type":"text","content":"\n\n\n\n\nTORONTO, Nov. 8 /CNW/ - Shoppers Drug Mart Corporation (TSX: SC) today\nannounced its financial results for the third quarter ended October 7, 2006.\n\nThird Quarter Results (16 Weeks)\n\nThird quarter sales increased 8.9% to $2.329 billion, with the Company\ncontinuing to experience strong sales growth in all regions of the country. On\na same-store basis, sales increased 6.6% during the third quarter of 2006.\nPrescription sales increased 9.7% in the third quarter to $1.116 billion,\naccounting for 47.9% of the Company's sales mix compared to 47.6% in the same\nperiod last year. On a same-store basis, prescription sales increased 8.2%.\nFront store sales increased 8.3% in the third quarter to $1.213 billion,\ndriven by sales gains in all core categories. On a same-store basis, front\nstore sales increased 5.2% during the third quarter of 2006.\nStrong sales growth, combined with an enhanced product mix, contributed\nto growth in net earnings. Third quarter net earnings increased 15.1% to\n$124 million or 57 cents per share (diluted) from $108 million or 50 cents per\nshare (diluted) a year ago.\nCommenting on the quarter, Glenn Murphy, Chairman and CEO stated, \"We are\npleased with our results in the third quarter, a good quarter for us both\noperationally and strategically. Our sales and earnings growth is a testament\nto strong execution at store-level, while at the same time, we opened a number\nof new stores and completed the acquisitions of MediSystem Technologies and\nTherapy Supplies.\"\n\nYear-to-date Results (40 Weeks)\n\nSales for the first three quarters of 2006 increased 8.5% to\n$5.768 billion, with prescription sales up 8.9% and front store sales up 8.1%.\nOn a same-store basis, sales increased 6.5%, with prescription sales up 7.8%\nand front store sales up 5.3%. During the first three quarters of 2006,\nprescription sales accounted for 47.8% of the Company's sales mix compared to\n47.6% in the same period last year.\nNet earnings for the first three quarters of 2006 increased 16.3% to $290\nmillion or $1.34 per share (diluted) from $249 million or $1.15 per share\n(diluted) a year ago.\n\nBusiness Development\n\nDuring the third quarter, 30 drug stores were opened or acquired, 14 of\nwhich were relocations, and three drug stores were closed. The Company also\nadded one home health care store to its ne...