Rite Aid Corporation (NYSE:RAD) came out Thursday with third-quarter results.
The Camp Hill, Pa.-based company reported that for the third quarter, the company reported net income from continuing operations of $52.3 million, or $0.98 per share.
Adjusted net income from continuing operations were $29.1 million, or $0.54 per share, and Adjusted EBITDA from continuing operations of $158.1 million, or 2.9% of revenues.
Rite Aid Corporation is updating its fiscal 2020 outlook, which includes narrowing its guidance for Adjusted EBITDA. The company’s outlook assumes continued prescription count growth, improvements in generic drug costs and strong SG&A expense control, offset by a decline in prescription reimbursement rates.
In terms of fiscal 2020 guidance, Rite Aid Corporation expects revenues to be between $21.5 billion and $21.9 billion in fiscal 2020 with same store sales expected to range from an increase of 0% to an increase of 1% over fiscal 2019.
Net loss is expected to be between $174.0 million and $204.0 million.
Adjusted EBITDA is expected to be between $515.0 million and $545.0 million.
"Our team delivered a strong quarter that provides us with momentum as we prepare to roll out our long-term strategy and position Rite Aid Corporation as an innovative leader in our industry," said CEO Heyward Donigan.
"Adjusted EBITDA grew in our retail business due to tight expense control and prescription count growth in our retail pharmacies, which benefited from solid growth in immunizations. At the same time, we saw improved pharmacy network management at EnvisionRxOptions."
RAD shares hiked $2.89, or 34.7%, to $11.21
