Walgreens Boots Alliance Inc (NASDAQ:WBA) took it on the chin Thursday, on the release of second-quarter numbers.
The company, based in Deerfield, Ill., told investors sales increased 3.7% to $35.8 billion, up 4.1% on a constant-currency basis.
Operating income decreased 18.7% to $1.2 billion. Thursday’s news release also said adjusted operating income decreased 12% to $1.7 billion, on both a reported and constant currency basis
Earnings per Share decreased 14% to $1.07. Adjusted EPS decreased 7.3% to $1.52, on both a reported and constant-currency basis.
Year-to-Date Highlights include the reality that net cash provided by operating activities in the first half of fiscal 2020 was $2.5 billion, an increase of $1.3 billion compared with the same period a year ago. Free cash flow was $1.8 billion, an increase of $1.4 billion
In terms of 2020 Outlook, prior to the COVID-19 pandemic, the company was on track to maintain fiscal 2020 guidance of roughly flat growth in adjusted EPS, at constant currency rates, plus or minus 3%.
Future impacts of COVID-19 uncertain. The drug store chain assured investors updates will be provided in the next earnings report
CEO Stefano Pessina said, "We are pleased to report second quarter results exceeding our expectations, with sequential improvement in comparable U.S. prescription volume and retail sales. During these unprecedented times of global uncertainty, Walgreens Boots Alliance is on the front lines of combating the COVID-19 pandemic.
"Our number one priority is to continue to provide essential services, products and information at this critical moment of need, demonstrating our unwavering commitment to our customers and patients, and to our people.”
WBA shares faded $3.06, or 7.1%, to $39.97.
