New Market Perspective
  • Business
  • Politics
  • Investing
  • World
  • Business
  • Politics
  • Investing
  • World

New Market Perspective

Business

Walgreens to close 1,200 stores over the next three years

by admin October 16, 2024
October 16, 2024
Walgreens to close 1,200 stores over the next three years

Walgreens said Tuesday it plans to close 1,200 stores over the next three years as it seeks to further downsize its footprint amid flagging sales and changing consumer behavior.

The pharmacy chain said 500 of the closings would occur over the next 12 months. It estimates a quarter of its 8,700 stores in the U.S. are unprofitable.

Walgreens announced the closures as part of its fiscal fourth-quarter and full-year earnings, which beat Wall Street’s expectations. In a statement, CEO Tim Wentworth acknowledged the company was in the midst of a ‘turnaround’ that would ‘take time.’

‘We are confident it will yield significant financial and consumer benefits over the long term,” Wentworth said.

In June, Walgreens said it planned to close a “significant” number of its underperforming stores by 2027. Tuesday’s announcement appears to be the company’s first exact estimate of how many locations it will shutter.

Both Walgreens and rival CVS are facing a difficult operating environment, fighting to be profitable as consumers shift their habits.

In 2021, CVS said it would close about 900 stores, or about 10% of its U.S. locations, from 2022 to 2024. Rite Aid recently emerged from bankruptcy and will operate as a privately owned company.

Pharmacy chains have been squeezed in part by changes to the prescription drug market, including lower reimbursements from pharmacy benefit managers (PBMs), the third-party companies that manage prescription drug benefits for health insurance companies.

PBMs have been recently accused of inflating drug costs and are the target of multiple legislative and regulatory reforms and actions.

The end result has been a greater number of ‘pharmacy deserts’ across the U.S.

“The retail pharmacy industry is going through a period of soul-searching, trying to understand the best model to reach the consumer,” Neil Saunders, GlobalData’s retail managing director, told CNBC in August.

This post appeared first on NBC NEWS

0
FacebookTwitterGoogle +Pinterest
previous post
Boeing to raise as much as $25 billion to shore up balance sheet
next post
Riverside Resources Completes LiDAR Survey and Expanding Targeting at the Duc Project in Ontario

Related Posts

Disney, Fox, Warner Bros. Discovery call off Venu...

January 11, 2025

Home sales slipped unexpectedly in April despite big...

May 23, 2024

Markets are clamoring for the Fed to start...

August 2, 2024

Apple’s Maryland store workers vote to authorize strike

May 13, 2024

LongHorn up, Olive Garden down: Darden earnings hint...

June 24, 2024

Why Ford believes its $1.9 billion shift in...

August 24, 2024

Netflix to stream WWE’s ‘Raw’ starting next year...

January 24, 2024

Southwest Airlines will charge to check bags for...

March 12, 2025

Sam Altman tells OpenAI staff there’s no plan...

October 1, 2024

Home buyers to be spared broker commissions up...

March 17, 2024

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest

    • Trump tells Netanyahu to end Gaza war and stop Iran threats, source says, as US ramps up pressure on Israel

      June 12, 2025
    • Children swept away in school bus among at least 49 killed in South Africa flooding

      June 12, 2025
    • Israel recovers bodies of two dead hostagesfrom Gaza in military operation

      June 12, 2025
    • Gaza Humanitarian Foundation says Hamas attack has killed multiple aid workers

      June 12, 2025
    • Trump administration reviewing Biden-era submarine pact with Australia, UK

      June 12, 2025
    • Plane crashes at airport in western Indian city of Ahmedabad

      June 12, 2025

    Popular

    • 1

      10 Top Oil-producing Countries (Updated 2024)

      October 19, 2024
    • 2

      Powered by rain, this seed carrier could help reforest the most remote areas

      December 19, 2023
    • 3

      A troubling theory about traders profiting from Hamas’ attack on Israel drew much attention. Why it may not be so simple.

      December 13, 2023
    • 4

      Americans are starting to feel better about the economy and inflation

      December 13, 2023
    • 5

      Top 10 Uranium-producing Countries (Updated 2024)

      April 18, 2024
    • 6

      Rare Earths Stocks: 8 Biggest Companies in 2024

      January 12, 2024
    • 7

      Investing in Graphene Companies

      May 9, 2024

    Categories

    • Business (1,364)
    • Investing (3,295)
    • Politics (4,306)
    • World (4,256)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: newmarketperspective.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.


    Copyright © 2025 newmarketperspective.com | All Rights Reserved