A person enters a Walgreens store in San Francisco, California, U.S., on Tuesday, April 13, 2021.
David Paul Morris | Bloomberg | Getty Images
Walgreens Boots Alliance on Thursday announced fiscal second-quarter earnings that topped analysts’ expectations, after the omicron variant of Covid-19 intensified demand for booster shots and tests and drove foot traffic during the winter months.
The drugstore chain reiterated its outlook for the year. It has said that adjusted earnings per share will grow in the low single digits.
Shares fell less than 1% in premarket trading.
Here’s what Walgreens reported compared with what analysts were expecting for the second quarter ended Feb. 28, based on Refinitiv data:
- Earnings per share: $1.59 adjusted vs. $1.40 expected
- Revenue: $33.76 billion vs. $33.4 billion expected
In the quarter, net income fell to $883 million, or $1.02 per share, from $1.03 billion, or $1.19 per share, in the year-ago period.
Excluding items, the company earned $1.59 per share, exceeding the $1.40 expected by analysts surveyed by Refinitiv.
Sales rose to $33.76 billion from $32.78 billion a year earlier, and surpassed the $33.4 billion that analysts expected.
Walgreens said same-store sales for retail in the U.S. jumped 14.7% in the three-month period compared with the year-ago period, the largest gain in 20 years. The company said it saw gains in all categories — especially with health and wellness items, including at-home Covid tests, over-the-counter medications for cough, cold and flu and beauty.
At its U.K.-based Boots chain, retail same-store sales surged 22% year over year, with share gains across all major categories.
As of Wednesday’s close, Walgreens shares are down 9% so far this year. Shares closed Wednesday at $47.46, bringing the company’s market value to $40.97 billion.
Read the company’s press release here.
This story is developing. Please check back for updates.
