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Sigma Healthcare posts double-digit profit growth as Chemist Warehouse network expands

Story Highlights
  • Sigma Healthcare delivered strong first-half 2026 revenue and profit growth, driven by robust Chemist Warehouse sales in Australia and accelerating international operations.
  • The merged group is realising early synergies, expanding brands and private labels, improving supply-chain efficiency and maintaining a conservatively leveraged balance sheet with a fully franked interim dividend.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Sigma Healthcare posts double-digit profit growth as Chemist Warehouse network expands

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Sigma Healthcare Ltd ( (AU:SIG) ) has issued an update.

Sigma Healthcare reported robust first-half 2026 results, with revenue rising 14.9% to $5.5 billion, normalised EBIT up 18.7% to $582.9 million and normalised NPAT up 19.2% to $392.0 million, underpinned by strong Chemist Warehouse store sales and growing international operations. Australian Chemist Warehouse branded sales climbed 17.2% to $5.1 billion, supported by like-for-like growth of 15.0%, an expanding store network, increased GLP-1 medicine sales and the shift to fulfilling online orders from stores.

Management is also reinvigorating the Amcal and Discount Drug Stores brands, completing the conversion of MyChemist franchise stores and planning additional Amcal openings, while expanding its portfolio of owned and exclusive label products, led by Wagner generics. International retail network sales grew 24.5% to more than $807 million, with rapid store rollout in New Zealand and Ireland, where a new distribution centre is improving operational capability and underlining the transferability of the Chemist Warehouse model.

Supply-chain scale is delivering efficiencies, as a 5.1% increase in units distributed was achieved with only a 0.3% rise in warehouse and distribution costs, helping lift normalised EBIT margin by 34 basis points and earnings per share by 19.4%. Integration of the merged group is progressing to plan, with $13 million in early synergies, a strong balance sheet featuring net debt of $635.1 million at just 0.6 times normalised EBITDA, and an interim fully franked dividend of 2.0 cents per share reflecting robust cash generation.

The most recent analyst rating on (AU:SIG) stock is a Hold with a A$3.00 price target. To see the full list of analyst forecasts on Sigma Healthcare Ltd stock, see the AU:SIG Stock Forecast page.

More about Sigma Healthcare Ltd

Sigma Healthcare is an integrated healthcare company operating a large network of Chemist Warehouse branded pharmacies and other retail banners such as Amcal and Discount Drug Stores. The group focuses on pharmaceutical retailing, wholesale distribution, and owned and exclusive label products in Australia and selected international markets, including New Zealand and Ireland.

Average Trading Volume: 13,911,154

Technical Sentiment Signal: Buy

Current Market Cap: A$34.45B

For an in-depth examination of SIG stock, go to TipRanks’ Overview page.

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