DEERFIELD, Ill. — Walgreens will close 1,200 stores over the next three fiscal years, including 500 in fiscal 2025, the company said Tuesday.
Walgreens Boots Alliance announced the closings as part of its earnings report for the fourth quarter of fiscal 2024, which ended August 31. The company posted sales and profits that beat Wall Street's expectations.
Adjusted earnings per share of 39 cents topped analysts' projection of 36 cents, while revenue of $37.55 billion surpassed the forecast of $35.76 billion.
WBA said the closings would be "immediately accretive" to adjusted earnings and free cash flow.
“Our financial results in the fiscal fourth quarter and full year 2024 reflected our disciplined execution on cost management, working capital initiatives and capex reduction," said CEO Tim Wentworth. "In fiscal 2025, we are focusing on stabilizing the retail pharmacy by optimizing our footprint, controlling operating costs, improving cash flow, and continuing to address reimbursement models to support dispensing margins and preserve patient access for the future.
“Fiscal 2025 will be an important rebasing year as we advance our strategy to drive value creation. This turnaround will take time, but we are confident it will yield significant financial and consumer benefits over the long term.”
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