Australian Pharmaceutical Industries has today announced incumbent CEO and MD, Stephen Roche, will step down and be replaced by Richard Vincent, who is the current GM of business development, operations and strategy.

API chairman, Peter Robinson said that Roche had informed the board of his intention to step down, at a time that allowed the implementation of a smooth transition. Starting today, the company will begin a structured transition phase with Vincent as CEO-elect working with Roche until he departs the business in mid-February next year.

“Stephen was appointed CEO and managing director in 2006 to stabilise the wholesaling business and undertake a major expansion of the Priceline Pharmacy network to create a leading mass market health and beauty retailer,” said Robinson.

“Undoubtedly, he has delivered on that mandate. Since he joined we have built the total Priceline network to more than 440 stores which has annualised retail turnover of more than $2 billion.”

Robinson said the Priceline brand had consistent like-for-like sales growth over the last five years and is the market leader in colour cosmetics and skincare.

“Stephen has also successfully managed a major re-engineering of our wholesaling business in the face of major regulatory and structural changes to the sector. Major transformational initiatives include investments of $57 million in our supply chain and $45 million in the implementation of a world first wholesale and retail SAP system.”

Roche said “after ten years in the role and with the business having delivered successive years of very strong profit growth” the time to was right for a leadership change.

API also updated its guidance from July and said underlying NPAT for the 2016 FY would be at least $51 million. Net debt would be below $30 million and the Priceline network reached 442 stores at the end of August.

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