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Walgreens Boots (WBA) Tops Q3 Earnings, Misses on Revenues

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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 - Free Report) . This Illinois-based company is the first global pharmacy-led, health and wellbeing enterprise.

Currently, Walgreens Boots has a Zacks Rank #3 (Hold) but that could change following its mixed third 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 $1.14 per share over the last 60 days. Walgreens Boots’ adjusted earnings per share of $1.18 beat this estimate by 3.5%.

Revenues:Walgreens posted revenues of $29.5 billion and slightly missed the Zacks Consensus Estimate for revenues of $29.9 billion.

Key Stats: Revenue from the Retail Pharmacy USA division increased 3.7% to $21.2 billion, while revenues from the Pharmaceutical Wholesale division grew 0.7% to $5.7 billion. However, revenues from the Retail Pharmacy International division dropped 2.3% to $3.2 billion. Moreover, Walgreens Boots filled 235 million prescriptions (including immunizations) on a 30-day adjusted basis in the quarter, reflecting an increase of 3.9 % over third quarter of fiscal 2015.

Major Factors: Per management, Walgreens Boots delivered solid results  on a year over year basis in the fiscal third quarter, while continuing to make progress in several key areas, including development in the company’s long-term strategic relationships and pursuing partnership opportunities. With respect to the impending Rite Aid takeover, the company is continuing its integration planning and continues to expect the transaction to close in the second half of calendar 2016.  The company has once again raised the low end of its fiscal 2016 adjusted EPS guidance by 10 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!

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