Jeff Sells will be acting CFO in conjunction with his current role as executive general manager retail pharmacy, the company said. Mr Sells has been with Sigma for nine years, including six years as CFO from 2010 to 2016.
Sigma is undergoing a major transformation dubbed “Project Pivot” since revealing it would no longer exclusively supply retail pharmacy market leader Chemist Warehouse with prescription drugs and other products July 2018. The agreement formally ceased June 30, 2019. The Chemist Warehouse group contract made up about 42 per cent of Sigma’s total revenues.
Sigma shares on Wednesday fell 1.3 per cent to 57.7¢ in early trade, but were down 28 per cent just before it announced the end of the Chemist Warehouse contract.
The company, which operates under the Amcal, Chemist King, Discount Drug Stores, Guardian and PharmaSave banners, in September said its first-half profit plummeted 81.2 per cent to $2.5 million, which was impacted by one-off costs including $17.3 million on its “Project Pivot” program.
It also knocked back merger overtures by rival API, which recently sold its major stake in Sigma.