Walgreens Stock Jumps as Sales Grow, Adjusted Earnings Surpass Estimates

Walgreens Boots Alliance Stock (AMB) rose Friday morning after the pharmacy retailer reported first-quarter results that included improved revenue and adjusted earnings. than analysts expected.

The retailer recorded $39.46 billion in revenue for the quarter, well above the $36.71 billion it posted in the same period last year and the $37.33 billion analyst consensus compiled by Visible Alpha. Walgreens recorded a turnover of 265 million dollars net lossThat fell short of the small earnings analysts had expected, but the company’s adjusted earnings beat projections.

After adjusting the cost of several one-time charges, such as store closures and the changing value of some of its investments, Walgreens posted a adjusted net income of $440 million, or 51 cents per share, well above the $329.34 million and 38 cents per share that analysts were expecting.

In its fourth quarter report, Walgreens announced a plan to close approximately 1,200 “underperforming” stores over the next three years, including 500 this fiscal year. The company did not disclose in Friday’s earnings report how many stores it closed in the first quarter.

“While our recovery will take time, our early progress reinforces our belief in a sustainable operating model led by retail pharmacies,” Walgreens executive director Tim Wentworth said Friday.

Walgreens shares rose more than 14% on Friday to $10.58 after the pharmacy was the worst-performing stock in the S&P 500 in 2024, and stocks will peak lowest price in decades.