Walgreens Sees H1 Adj. EPS In Line With Prior View; Backs FY Profit View

(RTTNews) - Walgreens Boots Alliance Inc. (WBA) said it expects higher adverse impacts from the COVID-19 in the second quarter. But, the company anticipates first-half fiscal 2021 adjusted earnings per share to be broadly in line with prior expectations.

The company maintained fiscal 2021 guidance of low single-digit growth in adjusted earnings per share at constant currency rates, with the profile skewed to opportunity.

On a full-year basis, the opportunity from the distribution of vaccinations is likely to be offset by COVID-19 related lock-downs and restrictions, and by increased growth investments.

The company reported that its net loss attributable to the company for the first quarter of fiscal 2021 was $308 million or $0.36 per share compared to net profit of $845 million or $0.95 per share in the same quarter a year ago. The loss was entirely due to the AmerisourceBergen charge.

Adjusted net earnings decreased 13.9 percent to $1.1 billion, down 14.3 percent on a constant currency basis, compared with the same quarter a year ago. Adjusted earnings per share was $1.22, a decrease of 11.2 percent on a reported basis and a decrease of 11.6 percent on a constant currency basis, compared with the same quarter a year ago, reflecting an estimated adverse COVID-19 impact of $0.26 to $0.30 per share.

Sales for the first-quarter were $36.31 billion, an increase of 5.7 percent from the year-ago quarter, and an increase of 5.2 percent on a constant currency basis, reflecting growth in Retail Pharmacy USA and Pharmaceutical Wholesale.

Analysts polled by Thomson Reuters expected the company to report earnings of $1.03 per share and revenues of $34.95 billion for the first-quarter. Analysts' estimates typically exclude special items.