Walgreens Q3 earnings below expectations, lowers profit forecast, despite revenue beat

From CNBC: 2024-06-27 07:01:06

Walgreens reported Q3 earnings below expectations and lowered full-year profit forecast due to pharmacy and consumer challenges. Although revenue beat estimates, the company faces ongoing transformation efforts into a health-care company amid cost-cutting and store closures. Q3 results show growth in the U.S. health-care unit, propelled by partnerships with VillageMD and Shields Health Solutions.

Walgreens announced a net income of $344 million, with adjusted earnings of 63 cents per share for Q3. The company recorded $36.4 billion in sales, up 2.6% from a year ago. The U.S. retail pharmacy sector saw a sales increase of 2.3%, driven by pharmacy sales growth and partially offset by retail revenue decline.

The international segment of Walgreens, with over 3,000 stores overseas, reported $5.73 billion in sales for Q3, a 2.8% increase from the same period last year. The company did not provide a new revenue forecast for the fiscal year and continues efforts to balance costs and navigate a challenging retail environment.



Read more at CNBC:: Walgreens (WBA) earnings Q3 2024