Medici Capital > News > Pharmacy Business Models and KPIs

pharmacy business models and kpis

Tuesday, 3 October 2006

Medici Capital has provided some indicative figures that identify the differences between the operations of different styles of pharmacy. We have identified differences between Community Pharmacy, Regional Shopping Centre Pharmacy, Big Box Discounters and Nursing Home Specialtist Pharmacy.

The following table summarises a few differences in 'real life' styles of pharmacies. The numbers have been changed to protect the innocent and identity of the pharmacies.

	Community Pharmacy	Regional Shopping Centre	Big Box Discounter	Nursing Home Specialist
Size	130.00	250.00	1,000.00	400.00
Trading Hours per Week	48.50	63.00	80.00	50.00
Annual Sales	$1,500,000	$5,400,000	$7,500,000	$4,000,000
Gross Margin	32.0%	30.6%	26.2%	34.9%
Wages (inc owners)	9.7%	11.9%	7.0%	25.4%
Rent	1.6%	10.7%	1.0%	1.2%
Adjusted New Profit (before interest)	$236,000 15.7%	$264,000 4.9%	$455,000 6.1%	$199,000 5.0%

Business Value	$1,388,000	$1,760,000	$2,394,000	$995,000
Capital Costs to Establish
Fit out & Equipment	$162,500	$487,500	$850,000	$820,000
Stock	$130,000	$553,000	$1,048,000	$317,000
EFT Satff (inc owners)	4.63	8.71	12.11	18.29

Medici Capital encourages your feedback regarding these numbers.If you would like to participate in this benchmarking survey, please fill out the attached form and fax back to us on (03) 9853 7990. In providing us with your reponse, we will undertake an analysis of how your business lies in relation to the averages. Additionally, we will provide you with an analysis of what measures you should focus on to improve the performance of your pharmacy. All responses will be kept confidential.

Click Here for the PDF Document.