Lawsuits against Walgreens caused losses to company
2023.01.05 07:56
Lawsuits against Walgreens caused losses to company
Budrigannews.com – Walgreens Boots Alliance (NASDAQ:) is a drugstore chain. On Thursday, Inc. reported a net loss for the third quarter as it took on a $6.5 billion opioid litigation expense, which caused its shares to fall nearly 2% in premarket trade.
CVS Health Corp, a competitor of Walgreens (NYSE:) likewise Walmart (NYSE:) In November of last year, Inc. agreed to pay approximately $13.8 billion to settle thousands of state and local lawsuits in the United States alleging that the pharmacy chains mishandled opioid painkillers.
Demand for the COVID-19 vaccine has decreased recently at Walgreens, which had been relying on gains from administering the vaccine to offset losses from low prescription volumes brought on by the pandemic.
In October, the business warned that “lower COVID activity would continue to be a sizeable headwind,” but that prescription volumes would recover in 2023.
It administered approximately 8 million vaccines in the first quarter, resulting in a 4% decrease in pharmacy sales despite high demand for cough and cold medications during one of the worst flu seasons in a decade in the United States.
Walgreens reiterated its adjusted profit forecast for 2023, which ranges from $4.45 to $4.65 per share.
For the quarter that ended on November 30, Walgreens had a net loss of $3.72 billion, or $4.31 per share. This compares to a profit of $3.58 billion, or $4.13 per share, a year earlier, which included a one-time gain of $2.5 billion.
The company’s earnings in the first quarter, excluding items, were $1.16 per share, exceeding Refinitiv IBES estimates of $1.14 per share.
More Walgreens Boots profit and revenue increased
