Walgreens Earnings: WBA Stock Slides 6% on Worse-Than-Expected Q1

Walgreens (NASDAQ:WBA) earnings for the pharmacy company’s fiscal first quarter of 2020 have WBA stock falling on Wednesday. This is due to its adjusted EPS of $1.37 and revenue of $34.34 billion. These are both below Wall Street’s estimates of $1.41 per share and $3.60 billion.

Walgreens Earnings: WBA Stock Slides 6% on Worse-Than-Expected Q1

Source: saaton / Shutterstock.com

Now for a closer look at the most recent Walgreens earnings report.

  • Adjusted per-share earnings are down 6.16% from $1.46 in the same period of the year prior.
  • Revenue comes in 1.63% higher YoY than $33.79 billion.
  • Operating income of $1.01 billion is a 27.86% drop from $1.40 billion in fiscal Q1 2019.
  • The Walgreens earnings report also includes a net income of $842 million.
  • That’s a 23.46% drop from the company’s net income of $1.10 billion from the same time last year.

Stefano Pessina, Executive Vice Chairman and Chief Executive Officer of Walgreens Boots Alliance, says this about the WBA stock earnings report.

“We are maintaining our outlook for the year despite a soft first quarter. We are confident our strategic plans are the right ones to drive long-term sustainable growth going forward. In addition, during the quarter we were very satisfied with the progress made in our Transformational Cost Management Program and with the strong cash flow we delivered.”

Walgreen’s outlook for fiscal 2020 has it expecting roughly flat growth in fiscal 2020 for adjusted EPS on a constant currency basis.

WBA stock was down 5.84% as of Wednesday afternoon.

As of this writing, William White did not hold a position in any of the aforementioned securities.

Article printed from InvestorPlace Media, https://investorplace.com/2020/01/walgreens-earnings-q1-hit-wba-stock/.

©2021 InvestorPlace Media, LLC