SIG 3.96% $2.89 sigma healthcare limited

Ann: Sigma 2017/2018 Full Year ASX Release, page-12

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  1. 7,719 Posts.
    lightbulb Created with Sketch. 161
    Sorry to hear that newB

    CS mentioned this (via fnarena):
    Column 1 Column 2 Column 3 Column 4 Column 5 Column 6
    1
    • COMMENTARYFY18 results were in line with expectations. Credit Suisse expects PBS revenues to remain under pressure as some manufacturers are choosing to by-pass wholesale distributors and go directly to pharmacies.Higher growth of non-PBS revenue and the potential winding back of the remaining trade discounts to pharmacy should raise gross profits through FY19.Credit Suisse retains a Neutral rating and reduces the target to $0.82 from $0.84.
             
    2 Morgan Stanley
    23/03/2018
    5
    Underweight
    $0.80
    -1.23%
    This winding back of trade discounts really doesn't sound sustainable to me, if competition is already tough for pharmacies. Just weakens their pharmacies more in comparison to competition does it not? Maybe I am misunderstanding something? It sort of makes the FY19 guidance seem bit weaker again if this is part of the game plan. Interesting comment I thought.


    Sorry about the formatting above
    Last edited by CaptainBarnacles: 23/03/18
 
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