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Pharmacy Chain 36.6 reports 10.9% revenue drop

Russian Pharmacy Chain 36.6 reported that its retail EBITDA improved by more than RUB300 million (USD8.61 million) in Q1 2009. Group revenue from ongoing operations decreased 10.9% to RUB5.86 billion (USD168.17 million). The retail unit opened seven and closed 50 stores in Q1 2009. Commenting on Q1 2009 results, Jere Calmes, President and CEO, said: “Our Q1 2009 results underscore the operational improvements made across the group’s pharmaceutical retail chain, especially in the Moscow-Central Business Unit and the solid performance of our manufacturing unit, Veropharm. Nevertheless, our current operating environment remains severely strained and we continue to work with our Board of Directors to raise the required funding to complete our turnaround.” Q1 2009 sales in its retail unit decreased 14.2% to RUB4.79 billion (USD137.46 million), driven by the closure of non-performing stores and a drop in like-for-like sales. Like-for-like sales in Q1 decreased 8% in rouble terms (35% in dollar terms), driven by out-of-stocks and a decline in customer traffic.

www.planetretail.net

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