Leading North American Drug, Health and Beauty Retailers - Company Benchmarking Analysis Report

FOR IMMEDIATE RELEASE
(Free-Press-Release.com) February 22, 2012 -- The North American drug, health and beauty retail market is moderately concentrated and is dominated by retailers based in the US. Within the channel, the three largest retail chains are CVS Caremark, Walgreen and Rite Aid. The report includes these dominant chains, as well as Shoppers Drug Mart, Sally Beauty Holdings, Jean Coutu, Ulta and Vitamin Shoppe.

Walgreen recorded the strongest overall performance among the leading drug, health and beauty retailers in North America, and its strong performance driven by the high scores it received in the scale and growth pillar. Although the company was also the second-strongest performing drug, health and beauty retailer in terms of revenue, its performance was weaker than the channel average in the operational efficiency pillar. As a result of its weak performance in the operational efficiency and financial performance pillars, Rite Aid recorded the weakest performance in the peer group, with an overall score that was far below the channel average. Overall, seven out of eight companies of the peer group performed stronger than or comparable to the channel average.

Under the scale and growth pillar, Walgreen recorded the strongest performance in the peer group, its strong performance driven by the high scores it received in the revenue, retail floor space, store count, employee count and market capitalization scale and growth metrics. However, although the company‘s performance on these metrics was stronger than the drug, health and beauty retailers channel average, the company recorded only moderate performance under those metrics that specifically measure growth. Based on the scores, the peer group companies outperformed the drug, health and beauty retailers channel average in revenue, retail floor space, store count, employee count and market capitalization. However, their performance was weaker than the channel average in those metrics that specifically measured growth.

CVS Caremark was the strongest performer under the operational efficiency pillar among the peer group members, its strong performance primarily attributable to the high scores it received in the net profit margin, sales per square meter, and operating profit per square meter metrics. The company‘s performance on these metrics was stronger than the drug, health and beauty retailers channel average. In general, the peer group companies performed well on EBITDA margin, net profit margin and operating profit per square meter as compared to the drug, health and beauty retailers channel average performance. Their performance on inventory turnover, sales per square meter, sales per employee, operating profit per employee and fixed asset turnover metrics was, however, weaker than the channel average.

Ulta was the best performer under the financial performance pillar among the peer group companies, its strong performance driven by its high scores in the ROCE, return on assets, P/E ratio, quick ratio and EV/sales metrics. The company‘s performance in these metrics was better than the drug, health and beauty retailers channel average. In general, the peer group companies outperformed the drug, health and beauty retailers channel average on the ROCE, return on assets, P/E ratio, capital expenditure and EV/sales metrics. However, their performance was weaker than the channel average on quick ratio, debt to equity, debt ratio, EV/EBITDA and interest coverage metrics.

To purchase this report, and for more information, please click on the following link:
http://www.embs-group.com/report.php?id=108280

About EMBS
EMBS Group (www.embs-group.com) is a multi-channeled market intelligence company providing news feeds, the latest market reports published by leading companies and business advisory services on a number of business sectors within emerging markets and developed markets globally. For more information about our services, please email nicholas.scott@embs-group.com or call (+48) 12 376 87 41

Benchmarking report     Canadean     EMBS Group     Health and Beauty Retailers     USA Retail