Comments
yourfanat wrote: I am using another tool for Oracle developers - dbForge Studio for Oracle. This IDE has lots of usefull features, among them: oracle designer, code competion and formatter, query builder, debugger, profiler, erxport/import, reports and many others. The latest version supports Oracle 12C. More information here.
Cloud Expo on Google News
SYS-CON.TV
Cloud Expo & Virtualization 2009 East
PLATINUM SPONSORS:
IBM
Smarter Business Solutions Through Dynamic Infrastructure
IBM
Smarter Insights: How the CIO Becomes a Hero Again
Microsoft
Windows Azure
GOLD SPONSORS:
Appsense
Why VDI?
CA
Maximizing the Business Value of Virtualization in Enterprise and Cloud Computing Environments
ExactTarget
Messaging in the Cloud - Email, SMS and Voice
Freedom OSS
Stairway to the Cloud
Sun
Sun's Incubation Platform: Helping Startups Serve the Enterprise
POWER PANELS:
Cloud Computing & Enterprise IT: Cost & Operational Benefits
How and Why is a Flexible IT Infrastructure the Key To the Future?
Click For 2008 West
Event Webcasts
Grupo Casa Saba Reports - Distribution Sales to Institutional Clients Declined While Chile and Mexico Demonstrated Improved Performance

MEXICO CITY -- (Marketwire) -- 05/02/12 -- Grupo Casa Saba (NYSE: SAB)

Financial Highlights:
(All figures are expressed in millions of Mexican pesos. Comparisons are made with the same period of 2011, unless otherwise stated. Figures may vary due to rounding practices).

  • The Group's net sales for the quarter reached $12,035.3 million pesos
  • Gross income for the period was $2,180.2 million; the gross margin for the quarter was 18.12%
  • Operating expenses reached $1,810.0 million pesos and represented 15.04% of the Company's total sales
  • Quarterly operating income was $370.2 million, resulting in an operating margin of 3.08% for the period
  • First quarter operating income plus depreciation and amortization was $479.0 million, or 3.98% of total sales
  • The Group's net profit for the quarter was $470.37 million
  • As of March 31, 2012, GCS's net debt totaled $9,356.2 million pesos
  • GCS closed the quarter with 25 Distribution Centers and over 1,340 pharmacies in operation across Latin America

Mexico City, Mexico, May 2, 2012. Grupo Casa Saba (SAB) ("Saba", "GCS", "the Company" or "the Group"), one of the leading Mexican distributors of pharmaceutical products as well as health, beauty aids and consumer goods and publications and one of the most important pharmacy chains in Latin America, announces its consolidated financial and operating results for the first quarter of 2012.

QUARTERLY EARNINGS

In the first quarter of 2012, our distribution division registered a significant decrease in sales to some of our institutional clients, including ISSSTE. During the first quarter of 2011, in our Pharma, Health and Beauty division we were able to provide ISSSTE Hospital customers with over $700 million in products that were out-of-stock and this year were not requested by the institution. Given the amount, these sales could not be substituted for sales to other like or traditional clients. In addition, some of these clients were very focused, in general, on controlling their inventory levels and working capital. In terms of our collections, we maintained strict credit policies with all of our clients, which, together, contributed to the 13.2% decrease in sales in the Pharma, Health and Beauty division. We estimate that our efforts of generating profitable, low credit risk sales will enable us to improve our results in the medium term.

As part of our strategy of focusing on those countries that we deem to be strategic (Mexico, Chile and Brazil) in our Retail Pharmacy division, on January 19, 2012 we concluded the negotiations to sell our Peruvian operations (Boticas Fasa) to Quitafex, S.A. As a result, we will no longer operate in Peru and the proceeds from the sale will be used to strengthen our balance sheet.

In terms of our Retail Pharmacy division (without Peru), sales increased 3.9% as a result of the positive performance in Mexico (Benavides) and Chile (Farmacias Ahumada), whose sales rose by 7.8% and 5.5%, respectively. Our Brazilian operation somewhat offset this effect, however, given that its sales contracted due to the operational restructuring that is currently underway. Benavides and Farmacias Ahumada continued to apply their strategy of growth and strict cost and expenses controls, which translated into significant increases in terms of EBITDA. These increases were, however, partially offset by weaker results in Brazil.

In both Chile and Mexico, our Retail Pharmacy division continued to implement its expansion strategy, increasing the average number of stores in operation by 6.0% and 3.5%, respectively, during the quarter. As a result, we were able to maintain our position as one of the leading pharmacy chains in Latin America, with more than 1,340 points-of-sale as of March 31, 2012.

In Grupo Casa Saba, we will continue to focus on making ongoing improvements to our logistic and commercial operations in order to offer all of our clients a wide range of products at competitive prices. In our pharmacy network, we will also strive to offer the best, integrated health, beauty and consumer goods solutions.

NET SALES
Net sales for the quarter reached $12,035.3 million, a decrease of 5.8% versus the $12,782.2 million reported during the same period of 2011. This was the result of lower sales to ISSSTE Hospitals, the operative restructuring that is taking place in Brazil, the divestiture of our Peruvian operations and the fact that we continued to enforce strict credit policies in our distribution division.

SALES BY DIVISION

Distribution Division

PHARMA, HEALTH, BEAUTY AND CONSUMER GOODS

Sales from our Pharma, Health, Beauty and Consumer Goods division declined 13.2% versus the first quarter of 2011 to reach $5,557.0 million. This decrease was partly due to the above-mentioned reduction in sales to the ISSSTE Hospitals.

As a result, this division went from representing 50.06% of the Group's total sales in 1Q2011 to 46.17% in the first quarter of 2012.

GOVERNMENT PHARMA

Quarterly sales in our Government Pharma division grew 80.9% compared to the first quarter of 2011. This growth was due to the increase in our participation in the bidding processes of various State and Federal health institutions.

In terms of total sales, this division's participation went from 1.91% in 1Q2011 to 3.66% in the first quarter of 2012.

PUBLICATIONS

Sales from our Publications distribution division declined 19.7% compared to the first quarter of 2011, as a result of lower publication sales from various publishers and a downward adjustment in the number of publications delivered by various publishers.

Consequently, this division's participation as a percentage of the Group's total sales went from 1.7% in the first quarter of 2011 to 1.4% in 1Q2012.

RETAIL PHARMACY

During the first quarter of the year, sales from our Retail Pharmacy division decreased by $59.1 million pesos, or 1.0%, as a result of the divestiture of Peru, the Brazilian restructuring and lower institutional sales in our Farmacias ABC chain. A portion of this effect was offset by the positive performance of Farmacias Ahumada in Chile, which increased its sales by 5.5% and Farmacias Benavides, whose sales grew 7.8% during the first quarter of 2012. Without Peru, sales from this division would have increased 3.9% versus 1Q2011.

This division's participation as a percentage of the Group's overall sales went from 46.3% in 1Q2011 to 48.7% in the first quarter of 2012.

GROSS INCOME

During the first quarter of the year, Grupo Casa Saba's gross income was $2,180.2 million pesos, primarily due to the improved gross margins in Chile, Brazil, Mexico (Farmacias ABC) and the Pharma, Health and Beauty distribution division. This result is related to our efforts at improving our customer service, product availability and commercial offers for our clients.

Compared to the first quarter of 2011, the Group's gross income decreased 1.6%. However, GCS's 1Q2012 gross margin improved 79 b.p., to reach 18.12%.

OPERATING EXPENSES

GCS's first quarter 2012 operating expenses rose by $66.1 million pesos, or 3.8% compared to the same period of the previous year. This increase was the result of the annual increase in the payroll as well as higher expenses in both our Government Pharma division and our Chilean and Mexican (Benavides) operations, due to their larger infrastructures.

As a percentage of total sales, operating expenses represented 15.04% during the first quarter of 2012 compared to 13.64% during the same period of 2011.

OPERATING INCOME

Quarterly operating income for 1Q2012 was $370.2 million, lower than the $471.9 million reported in 1Q2011. This decline was the result of a lower gross income as well as the increase in expenses.

As a result, the operating margin for the period was 3.08% versus an operating margin of 3.69% in 1Q2011.

OPERATING INCOME PLUS DEPRECIATION AND AMORTIZATION

Operating income plus depreciation and amortization for 1Q2012 was $479.0 million, a decrease of 18.0% compared to the $584.1 million reported during the first quarter of 2011.

The operating income plus depreciation and amortization margin for the first quarter of 2012 was 4.0%.

COMPREHENSIVE COST OF FINANCING (CCF)

The Group's CCF reached $263.1 million, 21.1% higher than the CCF reported during 1Q2011. This was primarily due to the increase in interest payments.

NET DEBT

The Company's net debt as of March 31, 2012 was $9,356.2 million pesos.

OTHER EXPENSES (INCOME)

During the first quarter of 2012, the Company reported an income in the Other Expenses (Income) line item of $498.9 million, primarily as a result of the sale of our Peruvian operations.

It is important to mention that the results listed in this line item are derived from activities outside of the company's normal business operations and, as a result, they are not necessarily recurrent.

TAX PROVISIONS

Tax provisions for the first quarter of 2012 were $135.7 million pesos, 181% higher than the tax provision that were reported in 1Q2011.

NET INCOME

GCS's net income was $470.4 million for the first quarter of 2012 versus $214.7 million during the first quarter of 2011.

Consequently, the net margin for the period was 3.91%.

GRUPO CASA SABA
Sandra Yatsko
IR
+52 (55) 5284-6672
Email Contact

Alejandro Sadurni
CFO
Email Contact

IR Communications:
Jesus Martinez Rojas
+52 (55) 5644-1247
Email Contact

About Marketwired .
Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Cloud Developer Stories
Dasher Technologies is committed to being the best technology solution company in the United States by operating with the highest integrity and building lasting relationships with its customers and partners. Since 1982, Dasher Technologies helped public, private and nonprofit org...
SYS-CON Events announced today that Prashanth Chandrasekar GM of Rackspace's DevOps Business Segment joined DevOps Summit Silicon Valley faculty. Chandrasekar's session abstract will be published on Monday. Below please find an exclusive interview with Prashanth Chandrasekar, con...
Achieve continuous delivery of applications by leveraging ElasticBox and Jenkins. In his session at DevOps Summit, Monish Sharma, VP of Customer Success at ElasticBox, will demonstrate how you can achieve the following using ElasticBox and the ElasticBox Jenkins Plugin: Create co...
BlueBox bridge the chasm between development and infrastructure. Hosting providers are taking standardization and automation too far. For many app developers it does nothing but spawn mayhem and more work. They have to figure out how their creations live on a pre-fab infrastructu...
The old monolithic style of building enterprise applications just isn't cutting it any more. It results in applications and teams both that are complex, inefficient, and inflexible, with considerable communication overhead and long change cycles. Microservices architectures, whi...
Subscribe to the World's Most Powerful Newsletters
Subscribe to Our Rss Feeds & Get Your SYS-CON News Live!
Click to Add our RSS Feeds to the Service of Your Choice:
Google Reader or Homepage Add to My Yahoo! Subscribe with Bloglines Subscribe in NewsGator Online
myFeedster Add to My AOL Subscribe in Rojo Add 'Hugg' to Newsburst from CNET News.com Kinja Digest View Additional SYS-CON Feeds
Publish Your Article! Please send it to editorial(at)sys-con.com!

Advertise on this site! Contact advertising(at)sys-con.com! 201 802-3021



SYS-CON Featured Whitepapers
ADS BY GOOGLE

Breaking Cloud Computing News

GLEN ELLYN, Ill., Aug. 22, 2014 /PRNewswire/ -- This week Inc. magazine announced its annu...