City Pharmacy Ltd records K7.9 million profit last year

Business

THE City Pharmacy Limited (CPL) Group of Companies has recorded a K7.9 million profit in the 2018 annual year.
Managing director Mahesh Patel said City Pharmacy and Stop and Shop were able to bring in the returns in the second half of the year.
“We have been able to surpass estimated numbers by consultants – around K3.8 million – even though the first half of the year was a struggle,” he said. “The second half of the year came up strong for us and we are quite pleased with the results.”
Patel said Hardware Haus also performed well during the second half of the year bringing in larger profits than what was estimated.
“Hardware Haus was the real troubled child because it was in dire straits this time last year but performed well again in the second half of the year which was real pleasing for us.”
Patel said the economy continued to be slow with no job creation or major projects coming up but it gave the group the opportunity to consolidate.
The biggest challenge for CPL “is the changing market and the independent consumer behaviour” but it had strategies to address it.
“What we have done is that we are piloting a convenience retail business where it gives us retail stores in different areas.
“We’ve got a pilot in Erima. It’s very early days and if that format proves successful, we’ve got a major rollout plan for that,” Patel said.
“This will give us opportunity to go into the neighbourhood and go towards the customers rather than them coming to us.”

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