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Nov 30, 2021

Walgreens Q1 2022 Earnings Report

Walgreens exceeded expectations for the first quarter of fiscal year 2022 and raised guidance for the fiscal year.

Key Takeaways

Walgreens Boots Alliance reported strong first quarter results for fiscal year 2022, exceeding expectations across all business segments. Key drivers included COVID-19 vaccinations and testing, strong U.S. retail comparable sales, and a rebound in International segment sales and profitability. The company raised its full year adjusted EPS guidance.

First quarter EPS from continuing operations was $4.13, compared with a loss of $0.45 in the year-ago quarter; adjusted EPS increased to $1.68, up 53.1 percent on a constant currency basis.

First quarter sales from continuing operations increased 7.8 percent to $33.9 billion, up 7.6 percent on a constant currency basis.

First quarter operating income from continuing operations increased to $1.3 billion, compared with a loss of $535 million in the year-ago quarter; adjusted operating income increased to $1.8 billion, up 48.5 percent on a constant currency basis.

The company is increasing full year adjusted EPS guidance to low-single digit growth, from flat previously.

Total Revenue
$33.9B
Previous year: $36.3B
-6.6%
EPS
$1.68
Previous year: $1.22
+37.7%
Gross Profit
$7.58B
Previous year: $7.14B
+6.1%
Cash and Equivalents
$4.14B
Previous year: $1.11B
+272.2%
Free Cash Flow
$645M
Previous year: $763M
-15.5%
Total Assets
$96.5B
Previous year: $89.2B
+8.2%

Walgreens

Walgreens

Walgreens Revenue by Segment

Forward Guidance

Walgreens Boots Alliance is increasing its full year adjusted EPS guidance to low-single digit growth, from flat previously, to reflect first quarter performance and continued positive momentum. The outlook includes a 2 percentage point impact from incremental investments in team members and a 4 percentage point negative impact from previously planned healthcare investments.

Revenue & Expenses

Visualization of income flow from segment revenue to net income