Rite Aid Corporation Shares Up After Strong Fiscal 2022 Fourth Quarter and Full Year Results and Provides Fiscal 2023 Outlook
Apr 14, 2022 By MarketDepth
Rite Aid Corporation (NYSE: RAD) shares up about 10% after the Company announced operating results for its fourth quarter and fiscal year ended February 26, 2022. For the fourth quarter, the company reported net loss from continuing operations of $389.1 million, or $7.18 loss per share, Adjusted Net Loss from continuing operations of $88.6 million, or $1.63 loss per share, and Adjusted EBITDA from continuing operations of $106.1 million, or 1.8 percent of revenues.
“We exceeded our 2022 plan amid continuing challenges of the COVID-19 pandemic. As we look forward to the year ahead, we are ready and energized to compete in a new post-pandemic normal. We demonstrated the important role that pharmacists play in the everyday health of our customers and are well positioned to grow in a trillion-dollar pharmacy market through our continued leadership as a full-service pharmacy company.”Heyward Donigan, president and chief executive officer
Revenues from continuing operations increased 2.5 percent and 2.2 percent for the thirteen and fifty-two week periods ended February 26, 2022, respectively, compared to the prior year driven by growth at the Retail Pharmacy Segment, partially offset by a decline at the Pharmacy Services Segment.
Loss per Share
Net loss from continuing operations for the fiscal year ended February 26, 2022, was $538.5 million, or $9.96 loss per share, compared to last year’s net loss of $100.1 million, or $1.87 loss per share. The increase in net loss is due primarily to goodwill impairment related to the Pharmacy Services Segment, higher facility exit and impairment charges, a LIFO charge in the current year compared to a LIFO credit in the prior year, higher litigation settlements, and a gain on the acquisition of Bartell Drugs in the prior year. These items were partially offset by an increase in Adjusted EBITDA and lower restructuring-related costs.