Rite Aid Gets Profit Boost From Growing Pharmacy Same-Store Sales
NEW YORK (TheStreet) -- Shares of Rite Aid are climbing on Thursday after the drugstore chain reported higher-than-expected profit for the fourth quarter on growing pharmacy same-store sales and issued a 2015 earnings forecast above analysts' estimates.
Shares of Rite Aid
Excluding items, the company earned 10 cents a share in the quarter on revenue of $6.6 billion on growing pharmacy same-store sales. Analysts were expecting a profit of 4 cents a share on revenue of about $6.5 billion, according to Thomson Reuters. Looking forward, Rite Aid forecast full-year 2015 earnings of 31 cents to 42 cents a share on sales of $26 billion to $26.5 billion, beating analysts' forecasts of profit of 35 cents a share on revenue of about $25.7 billion.
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The company said it expects its pharmacy sourcing deal with McKesson as well as new and higher-priced generic drugs to drive sales in 2015. Rite Aid also announced that it acquired Texas clinic operator RediClinic, but did not disclose details of the transaction.
At last check, shares of Rite Aid were climbing more than 14% to $7.32.
In New York, I'm Brittany Umar for TheStreet.
Written by Brittany Umar in New York.