Rite Aid narrowed adjusted loss in the fourth quarter but was short of Wall Street expectations even as sales surpassed an analyst estimate.
For the quarter, Rite Aid announced that it lost $241.3 million, or $4.39 per diluted share, versus a loss of $389.1 million, or $7.18 per diluted share, in the year-before period. Adjusted net loss was $68.2 million, or $1.24 per diluted share, versus $121.2 million, or $2.24 per diluted share, in the year-previous period.
An analyst consensus estimate published by Yahoo Finance pegged a Rite Aid loss for the quarter at 77 cents per adjusted diluted share on net revenues of $5.67 billion.
Revenues were $6.09 billion versus $6.07 billion in the year-earlier quarter, the company reported.
In the Retail Pharmacy Segment, revenues were $4.8 billion versus $4.43 billion in the year-prior quarter. Comparable sales for the fourth quarter increased 8.9% year over year consisting of an 11.4% gain in pharmacy sales and a 2.3% advance in front-end sales, which include general merchandise. Front-end comps excluding cigarettes and tobacco products increased by 2.8%.
For the full fiscal year, Rite Aid’s net loss was $749.9 million, or $13.71 per diluted share, versus a loss of $538.5 million, or $9.96 per diluted share, in the year before, the company maintained. The adjusted net loss was $174.3 million, or $3.19 per diluted share, versus $111.3 million, or $2.06 per diluted share, in the previous year.
Revenues were $24.09 billion versus $24.57 billion in the year earlier, the company noted.
In the Retail Pharmacy Segment, revenues were $17.79 billion versus $17.49 billion in the year prior. Comps increased 6.9% year over year, consisting of a 9.1% gain in pharmacy sales and a 1.1% advance in front-end sales. Front-end comps excluding cigarettes and tobacco products increased by 1.6%.
“Our fourth quarter results were at the higher end of our guidance and above consensus, driven by encouraging results in retail pharmacy and year over year improvement for the quarter at Elixir,” said Elizabeth “Busy” Burr, Rite Aid interim CEO, in announcing the financial results. “We are making progress in our turnaround program to drive performance acceleration that we expect will help mitigate fiscal 2024 challenges.”
Elixir is Rite Aid’s pharmacy benefits and services operation.
