Zacks
0
All posts from Zacks
Zacks in Our Research. Your Success.,

Walgreens Boots (WBA) Beats Q2 Earnings, Misses on Revenues

Are you a frequent visitor to retail drugstores? Then you must have come across at least one of the 13,100 drugstores operated by Walgreens Boots Alliance, Inc. WBA. This Illinois-based company is the first global pharmacy-led, health and wellbeing enterprise.

Currently, Walgreens has a Zacks Rank #2 (Buy) but that could change following its mixed second quarter fiscal 2016 earnings report which has just released. We have highlighted some of the key details from the just-released announcement below:

Earnings: The Zacks Consensus Estimate remained steady at $1.27 per share over the last 30 days. Walgreens’ adjusted earnings per share of $1.31 beat this estimate by 3.1%.

Revenues: Walgreens posted revenues of $30.18 billion and slightly missed the Zacks Consensus Estimate for revenues of $30.72 billion.

Key Stats: Revenue from the Retail Pharmacy USA division increased 2.1% to $21.5 billion, while the Retail Pharmacy International division delivered sales of $3.7 billion. On the other hand, the Pharmaceutical Wholesale division delivered sales of $5.6 billion. Moreover, Walgreens filled 233 million prescriptions (including immunizations) on a 30-day adjusted basis in the quarter, reflecting an increase of 3.9 % over second quarter of fiscal 2015.

Major Factors: Per management, Walgreens Boots continued to make good progress in the quarter in reducing costs and establishing more efficient working practices, which contributed to overall adjusted earnings growth. Looking ahead, Walgreens Boots remain on track to achieve its expectations for this fiscal year, by reducing lower pharmacy reimbursement rates and challenging retail sales environments. The company has once again raised the low end of its fiscal 2016 adjusted EPS guidance by 5 cents.

Stock Price: Following the earnings release, share prices did not show any movement in the pre-market trading session.

Check back later for our full write up on this Walgreens Boots earnings report later!

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
WALGREENS BAI (WBA): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research