Rite Aid reports Q2 results, lowers 2010 outlook
CAMP HILL, Pa. Rite Aid reported its second-quarter financial results ended Aug. 29.
Rite Aid reported a 2.7% decrease in revenues to $6.3 billion for the 13-week second quarter. The company said the drop was a result of store closings and a decline in front-end same-store sales.
Same store sales for the quarter decreased 1.1% over the prior-year 13-week period, consisting of a 4.9% decrease in the front end and a 0.8% increase in pharmacy. The number of prescriptions filled increased 1.4%. Prescription sales accounted for 68.1 percent of total drug store sales, and third party prescription revenue was 96.3% of pharmacy sales.
Net loss for the quarter was $116.0 million, or 14 cents per diluted share, compared with last year’s second quarter net loss of $222 million, or 27 cents per diluted share.
In the second quarter the company opened 3 stores, relocated 10 stores, remodeled one store and closed 16 stores. Stores in operation at the end of the second quarter totaled 4,812.
Based on expectations for a continued weak economy with high unemployment negatively impacting front end sales along with increased pressure on pharmacy gross margins, Rite Aid has lowered its fiscal 2010 guidance.