Walgreens Boot Alliance Posts 'Stronger Than Expected' Q4 Numbers

Deerfield IL

15 October, 2020

3:22 PM

Description

DEERFIELD, IL — Things appear to be improving fiscally for Walgreens Boot Alliance, parent company of Walgreens. The Deerfield-based company announced Thursday $373 million in profit for the fourth quarter of the financial calendar. It's far different outcome compared to the last financial report in July when the company said it had suffered a $1.7 billion loss in the third quarter. The company blamed the changing practices of consumers amid the pandemic with customers staying home or limiting shopping to essential supplies from grocery stores. "I am pleased to report results that came in at the high end of our expectations as we continue to adapt and transform our business model to changing customer needs," Executive Vice Chairman and CEO Stefano Pessina said in a statement. "Despite uncertainty amid the global COVID-19 pandemic, we are seeing gradual improvement in key U.S. and UK markets and continued strong performance in our wholesale business." Though the company posted a profit in Q4, net earnings attributable to Walgreens Boots Alliance decreased 44.9 percent compared with the same quarter a year ago. In July, Pessina decided he will step down from being CEO, a position he's held since 2015 when a new hire is made. In addition, Executive Chairman James Skinner began transitioning out of his role, but remains on the board to "facilitate a smooth leadership transition." Pessina will take over as executive chairman when a new CEO is hired. Walgreens Boots Alliance Inc. runs more than 9,000 stores in the United States and several thousand locations internationally. "I continue to be inspired by the tireless efforts of our teams as they support and care for our customers, patients and communities, while accelerating progress on our clear set of strategic priorities," Pessina said. "Looking ahead, we are projecting adjusted EPS growth in fiscal 2021, as reflected in our new guidance." RELATED:Walgreens CEO Stepping DownWalgreens Lost $1.7 Billion Amid Coronavirus PandemicWalgreens To Open Doctors' Offices In 500-700 Stores