Highlights and Key Events
- Acquisition of 15 practices providing $8.3 million in additional annualised gross revenues
- Achieved year on year same store sales growth of 2.6% as the Lumino branded marketing campaign continues to resonate with patients and grow the business
- The election of Dr Andrea Shepperson as chair of the Lumino clinical advisory board
- Continued retention of the majority of dentists completing their earn-out period
Whilst the economic climate remains a challenge for the New Zealand dental sector, the Lumino team has been successful in increasing the number of patients visiting our practices. We have also continued to educate people on the merits of regular preventative maintenance.
We have introduced a number of tools in the past two years to increase affordability of dental visits, including the innovative use of 18 months and 24 months interest free financing for dental work. These have been a core ingredient in our branded marketing campaign which continues to be very successful despite strong competition from within the sector.
The trans-Tasman dental sector has seen the sale of the only other significant dental aggregator to the BUPA group in FY13 and although their footprint in New Zealand remains at 25 practices for now, this may change.
The appointment of a chief financial officer with considerable commercial experience, most recently in the retail sector, brings some additional skills and experience to the Lumino team.
Focus for FY14
- Continue to focus on acquisition growth as well as enhancing capacity in existing practices.
- Expect continued same store sales growth as the economy improves
- Development of clinical training programmes
- Continued focus on material and laboratory cost efficiencies