Walgreens Boots Alliance Inc (NASDAQ:WBA, ETR:W8A) posted better-than-expected earnings for the fiscal second quarter, driven by stronger pharmacy sales, international growth and cost controls.
Sales increased 7.2% from the year-ago quarter to $38.99 billion, ahead of estimates of $36.59 billion.
Its US Retail Pharmacy segment saw its sales grow 7.8% to $30.7 billion, while its international segment also saw sales growth of 7.8% to $6.2 billion.
Adjusted earnings per share were $0.38, ahead of the Wall Street consensus of $0.34
“Third quarter results reflect continued improvement in our US Healthcare segment and benefits from our cost savings initiatives, while we continued to see weakness in our US front-end sales,” Walgreens CEO Tim Wentworth said in a statement.
“We remain focused on our turnaround plan, which will require time, disciplined focus and a balanced approach to manage future cash needs with investments necessary to navigate an evolving pharmacy and retail environment.”
Walgreens is currently undergoing a privatization process led by Sycamore Partners, expected to close in the latter half of 2025. As a result, the company has withdrawn its financial guidance for fiscal 2025.
In the first nine months of the year, sales are up 6.3% to $117 billion.