Posted on 06/29/2023 11:09:36 AM PDT by Angelino97
Walgreens is set to shutter 150 stores after slashing its earnings forecast due to lessening demand for Covid-19 tests and vaccine shots.
Shares in the pharmaceutical chain plummeted to $28.64 on Tuesday - their lowest level in more than 11 years - prompting drastic cost-cutting measures from executives.
Last night the firm confirmed all the closures will take place by the end of August 2024. As of midday Thursday its shares were sitting at $28.59, down 30 percent from last year.
Walgreens said it had been hit especially hard by the end of the pandemic which saw demand for its Covid-19 vaccine shots and testing facilities decline rapidly.
It also suggested that consumers were increasingly inflation-weary and less likely to spend.
Walgreens CEO Rosalind Brewer - who was given a $24.7 million signing bonus when she took on the job in February 2021 - told investors in a conference call: 'We have seen changing market trends that have consumers prioritizing value in response to a more uncertain and challenging economic environment.'
The chain reported a 59 percent profits decline to $118 million in the fiscal third quarter, which ended May 31, reports NBC Bay Area...
The news prompted shares in its rivals CVS Health and Riteaid to also fall.
On Thursday CVS health shares were trading at $68.34, down by 26.78 percent in the last year.
Similarly, Riteaid stocks were trading at $1.54, down by 78 percent over the last year.
Investment expert Jeff Jonas, who manages the Gabelli Funds portfolio, told Reuters: 'Very few people are getting either rapid tests or the actual PCR nasal swab tests. That ... probably has some impact on CVS and Rite Aid.'
(Excerpt) Read more at dailymail.co.uk ...
That definitely qualifies as piss poor leadership.
Diversity! Inclusion! Equity!
Bullseye. Easier to blame Covid then the “youths”
On the road to nationalization.
Maybe Amazon is having an impact on Rxes across America.
Amazon Pharmacy is proud to deliver to all 50 U.S. states, including the District of Columbia. Whether you’re physically unable to visit a traditional pharmacy, there isn’t a pharmacy nearby, or you just want to skip waiting in line, Amazon is here to make getting your medication easier.Feb 9, 2023
It’s amazing the meaningless word salads we are subjected to these days.
On the flip side, some people can communicate effectively using one word.
https://m.youtube.com/watch?v=2i2ZbJnkFEY&pp=ygUeYWxleCBsaWZlc29uIGFjY2VwdGFuY2Ugc3BlZWNo
I'm guessing in addition to inflation the store's closing will overwhelmingly be in blue city high-theft hellholes.
46 posted on 6/29/2023, 12:03:46 PM by GOPJ (BUD LIGHT QUEER BEER - - - DOESN’T BELONG AT THE JULY 4TH CELEBRATION.)
Excellent tagline.
“..due to lessening demand for Covid-19 tests and vaccine shots..”
Oh give me a break! They were doing just fine under Trump! It’s a combination of Biden’s rotten economy and degenerate top management.
It's the shoplifting, look at where specifically the stores are closing.
They are still hoping for a COVID Comeback. The pharmacy at our local Walgreens STILL has their COVID plexiglass shields up. Sheesh. If Walgreens dumped all those stupid, absolutely ineffective, liberal, virtue-signaling, feel-good things at firesale prices, their earnings would jump.
bookmark
Multi-million dollar signing bonusrs ? Stupid.
Contracted performance -tied bonus.
Smarter.
Yes, but now they are going to get in trouble for creating "Reparations Deserts" in those areas. :)
Obviously theft is a big reason for shutdowns. That said, people that had bad reactions to the Covid vaccine aren't likely to go back for shopping and drug prescriptions unless they are under a group policy..
“Walgreen’s took away a lot of small pharmacies often owned by a family who kept the place going for decades.”
And made the owner-pharmacists very wealthy when they bought them out. I know of one — far better off than had he kept the store.
‘All in’ means 27 boosters, no?
I am going to say this is subterfuge to hide the real reason they are going to close stores. They are going to close the stores in “diverse” neighborhoods due to constant shop lifting.
frank ballenger :" This Walgreen’s problem is like the old antiwar joke about war profiteers making a fortune:
They’re worried peace could break out."
From the article):" Walgreens is set to shutter 150 stores after slashing its earnings forecast due to lessening demand for Covid-19 tests and vaccine shots."
Shares in the pharmaceutical chain plummeted to $28.64 on Tuesday - their lowest level in more than 11 years
- prompting drastic cost-cutting measures from executives."
"Last night the firm confirmed all the closures will take place by the end of August 2024.
As of midday Thursday its shares were sitting at $28.59, down 30 percent from last year."
"Walgreens said it had been hit especially hard by the end of the pandemic which saw demand for its Covid-19 vaccine shots and testing facilities decline rapidly."
Would drug stores help themselves if they promoted nutritional education and had bigger sales in supplements, vitamins and minerals?
“Walgreens CEO Rosalind Brewer - who was given a $24.7 million signing bonus when she took on the job in February 2021....”
I think I’ve discovered part of their problem!
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