Great Tree Pharmacy, Taiwan’s leading pharmacy chain, has reported its 2024 financial results, posting an earnings per share (EPS) of NT$5.16. Although this figure falls short of the pandemic-era peak, the company has significantly outperformed its competitors, many of whom faced profit declines or turned to losses.
In response to intense competition for retail locations in late 2023 and early 2024, Great Tree strategically slowed its expansion to mitigate potential long-term operational pressures. However, the company returned to a normalized expansion pace in H2 2024 and anticipates 2025 store growth to align with its historical target of 15-20% annually, with profitability expected to track revenue growth.
As of year-end 2024, Great Tree operated 386 locations, excluding boutique-style counters—a net increase of 55 stores compared to 331 at the end of 2023. More than half of these new stores opened in H2 2024, coinciding with a stabilization in market conditions and more favorable lease negotiations.
In recent years, the company has prioritized non-street-facing, mid-sized store formats over traditional large-scale storefronts. Despite their smaller footprint, these stores achieve approximately 70% of the revenue of traditional large stores while utilizing only 50% of the floor space, thanks to group-level operational synergies.
Beyond pharmacy operations, Great Tree has been expanding into the pet care sector, now operating 11 pet-related locations across Taiwan. Losses from this segment narrowed in 2023, and analysts project that the pet business will reach break-even this year.
More importantly, Great Tree views its pet business as a strategic complement to its existing network of over 300 pharmacies, with the potential to drive incremental revenue at same-store locations. The company ramped up investments in Q4 2023, aiming to enhance growth momentum across its pharmacy network.
As Great Tree continues to refine its expansion strategy and diversify revenue streams, it remains well-positioned to navigate evolving market dynamics and sustain long-term growth.
Resource: 大樹今年擴點步調趨正常；寵物布局盼挹同店增量
