Walgreens Boots Alliance Shares Plummet Amid Decline in Demand
Jun 30, 2022 By MarketDepth
Walgreens Boots Alliance’s (NASDAQ: WBA) shares plummeted Thursday amid a decline in demand for Covid-19 vaccines. Nevertheless, the company reported better-than-expected third-quarter earnings.
Higher Than Expected Earnings
The pharmaceutical company reported earnings of USD0.96 per share, compared to the expected USD0.92 a share. Revenue amounted to USD32.6 Billion, slightly higher than analysts anticipated USD32.06 Billion.
“WBA delivered strong execution across operating segments and against very robust growth last year. Third quarter results were broadly in line with our expectations, demonstrating the resilience of our business through our deep community connections and relevance to consumers. Walgreens Health achieved 65 percent pro forma sales growth with progress on several fronts, including adding Buckeye Health Plan as a strategic partner, already exceeding our 2022 target for covered lives, and launching our clinical trials business. With our decision to conclude the Boots strategic review, I firmly believe that our strategic actions are working to deliver long-term shareholder value.”Chief Executive Officer, Rosalind Brewer
Walgreens administered 4.7 million vaccines within the third quarter, a difference from the 15.6 million vaccines given in the first quarter as well as the 11.8 million administered in the second quarter.
Expanding online Options
Healthcare has gained traction and the company has even taken a deal with Village MD to open hundreds of doctor offices within its stores. Furthermore, Walgreens has expanded online options, like curbside pickup and delivery, as a means of gaining customers back from rival Amazon.