The Walgreens pharmacy chain announced plans to close 150 locations across the United States by August 2024.
In a statement to NBC Chicago on Tuesday, a company spokesperson confirmed that 150 stores are expected to close by the end of August next year.
Walgreens Boots Alliance, the parent company that owns Walgreens and Boots pharmacies in the UK, will also close 300 Boots outlets on UK soil.
The news comes after Walgreens cut its profit forecast for the year and raised a cost reduction target after missing analysts’ earnings expectations in its fiscal third quarter.
Shares of the drugstore chain tumbled early Tuesday after the company said it was hit in part by significantly lower sales of COVID-19 vaccines and tests.
Walgreens now expects full-year adjusted earnings to be between $4 and $4.05 per share. That’s down from a previous forecast range of $4.45 to $4.65 per share. It’s also well below Wall Street expectations.
Analysts are forecasting adjusted earnings of $4.44 a share for the fiscal year, which ends in August, according to FactSet.
Walgreens CEO Rosalind Brewer said in a company statement that the new forecast takes “an appropriately cautious forward-looking view in light of consumer spending uncertainty, while demonstrating clear drivers of a return to growth.” operational next fiscal year.
In North America and the Caribbean, the number of adults with diabetes is estimated to reach 57 million by 2030. Video by Jacqueline Mata. For more information, visit cnbc.com/espanol
The company said it was raising its cost management program target to $4.1 billion on total savings of $3.5 billion.
Walgreens profit fell 59% to $118 million in the fiscal third quarter, which ended May 31.
The Deerfield, Illinois-based company reported earnings, adjusted for earnings and one-time costs, of $1 a share.
The results did not meet Wall Street expectations. The median estimate of eight analysts surveyed by Zacks Investment Research was for earnings of $1.06 per share.
The drugstore chain posted revenue of $35.42 billion in the period, beating Wall Street forecasts. Six analysts polled by Zacks had expected $33.79 billion.
Walgreens shares fell 7%, or $2.21, to $29.38 before markets opened Tuesday.
