Sigma Healthcare (ASX:SIG) announced its financial performance for the half year ended July 31.
The company's normalised net revenue grew 17.3% to $1.84 billion, driven by the commencement of a significant supply contract with Chemist Warehouse Group.
CEO and Managing Director Vikesh Ramsunder stated, "This has been a strategically important period for Sigma. We have begun a large new supply contract that will underpin Sigma's growth for the next five years and provide strong fixed cost absorption."
In addition to this, Sigma's normalised EBITDA rose 6.3% to $31.1 million, while normalised EBIT climbed 20.6% to $18 million.
However, statutory figures were impacted by one-off costs related to the Chemist Warehouse merger proposal and preparatory expenses for the new supply contract.
Statutory net profit after tax stood at $3.7 million, down 66.9%, but normalised NPAT soared 303.6% to $13.7 million.
Ramsunder elaborated on the company’s operational efficiency, stating, "Our distribution centre network was built to handle large scale volume, which we are now beginning to deliver. July proved our ability to efficiently absorb the volume and leverage our existing infrastructure."
The company also declared an interim dividend of 0.50 cents per share, unfranked, payable on Oct. 17.
Sigma has retained approximately 35% of its available wholesale capacity for future growth, ensuring that it can seamlessly absorb increased volumes without major capital expenditures.