Walgreens Q3 2024 Earnings Report
Key Takeaways
Walgreens Boots Alliance reported a 2.6% increase in sales to $36.4 billion for the third quarter of fiscal year 2024. However, adjusted EPS decreased by 36.6% to $0.63, impacted by lower sale-leaseback gains and a challenging U.S. retail environment. The company is lowering its fiscal year 2024 adjusted EPS guidance to $2.80 to $2.95.
Third quarter sales increased 2.6% year-over-year to $36.4 billion.
Adjusted EPS was $0.63, a 36.6% decrease compared to the prior year.
Lowering fiscal 2024 adjusted EPS guidance to $2.80 to $2.95.
Strategic review underway to optimize footprint and improve customer experience.
Walgreens
Walgreens
Walgreens Revenue by Segment
Walgreens Revenue by Geographic Location
Forward Guidance
Walgreens is lowering its fiscal 2024 adjusted EPS guidance to $2.80 - $2.95, reflecting persistent pressures on the U.S. consumer and the impact of recent marketplace dynamics which have eroded pharmacy margins.
Positive Outlook
- Focusing on improving core business: retail pharmacy.
- Addressing critical issues with urgency.
- Working to unlock opportunities for growth.
- Finalizing significant multiyear footprint optimization program to close certain underperforming U.S. stores
- Launching U.S. Retail Pharmacy action plan to invest in and deliver an improved customer and patient experience across channels
Challenges Ahead
- Facing a difficult operating environment.
- Persistent pressures on the U.S. consumer.
- Impact of recent marketplace dynamics eroding pharmacy margins.
- Challenging pharmacy industry trends.
- Worse-than-expected U.S. consumer environment.