Redcare Pharmacy Reports Robust Q2 Growth and Steady Profit Margins

Redcare Pharmacy N.V. announced strong Q2 results, highlighted by a 42% increase in total sales, reaching EUR 1.1 billion in the first half of 2024. Q2 alone saw a year-over-year sales increase of 34%, amounting to EUR 561 million. This growth was driven by a significant rise in prescription sales (Rx) in Germany, up 37% in Q2.

The company’s H1 non-Rx sales hit EUR 795 million, a 20% increase, while prescription drug sales soared to EUR 326 million, up 147% year-over-year. Adjusted EBITDA for the first half of the year reached EUR 27 million, translating to a margin of 2.4%; Q2 alone achieved a 2.7% margin.

CEO Olaf Heinrich highlighted the impact of the new CardLink solution on Rx growth in Germany. The company added 1.5 million active customers year-over-year, totaling 11.6 million.

Sales in the DACH region surged to EUR 907 million for H1, and international sales grew by 27.2%, reaching EUR 214 million. Despite increased operating expenses, net financial costs slightly reduced to EUR 4.3 million, and the company ended H1 with EUR 231 million in cash and short-term financial assets.

Guidance remains strong for 2024, with expected total sales between EUR 2.3 billion and EUR 2.5 billion, marking a growth rate of 30-40%.