Rowlands Pharmacy has taken over 44 hospital pharmacy contracts across 39 sites previously run by Lloydspharmacy, taking its total number of hospital pharmacy sites to 51, C+D can exclusively reveal.
It announced earlier this month (October 8) that it had completed the “successful novation of 26 NHS Trusts and 44 hospital outpatient dispensing contracts” in a process that “began a year ago and was completed in February”.
Read more: Rowlands back in the black after £600k profit
Rowlands said that the transitions took place as Lloydspharmacy - whose former parent company withdrew from the healthcare services sector last year - “swiftly exited the market”.
The contracts cover “outpatient pharmacy departments (OPDs), mental health pharmacies and wholesale pharmacies”, it added.
The pharmacy multiple last week (October 16) told C+D that all 44 contracts were previously operated by Lloydspharmacy, with this number including the four London hospital pharmacies Rowlands took over from Lloydspharmacy in November.
Read more: Rowlands takes over another four Lloydspharmacy hospital branches
It also includes another five hospital pharmacies Rowlands took over from Lloydspharmacy in Manchester the following month after winning a “competitive tender process”.
A representative for the chain told C+D that the locations of the new contracts span “across England from Cornwall to York”.
And they revealed that Rowlands now holds OPD contracts at “51 sites” in total - making it “the largest OPD provider in England”, it claimed.
“Drive innovation”
Rowlands managing director Nigel Swift said the contracts reinforce the chain’s “commitment to delivering high-quality pharmacy services within NHS hospitals”.
“We look forward to working closely with our new colleagues and partners to enhance patient care and drive further innovation in outpatient pharmacy services,” he added.
The chain added that trusts will gain “access to the scale and depth of resource offered through the wider Phoenix group” as well as “opportunities for significant VAT savings by dispensing medication via Rowlands”.
Read more: Tender triumph: Rowlands to take over five Lloydspharmacy hospital branches
It comes as company accounts revealed that Rowlands has seen pre-tax profits increase by 102%, rising from a loss of £37.9m in 2023/24 to a profit of £637k in 2024/25.
Published on Companies House earlier this month, the document showed the company’s turnover rose by 27%, jumping from £410m in the year ending January 31 2024 to £522.5m at the end of this January.
Directors said that along with Rowland’s “improved trading performance”, a “reduction” in the number of branches “compared with the prior year” had helped reduce “distribution costs”.
