Rite Aid Corp. (NYSE: RAD) released estimates for its fiscal 2019 full year before the markets opened on Monday. The company now expects to see a net loss per share in the range of $0.04 to flat, down from the previously stated earnings per share of $0.02 to $0.06. The consensus estimates call for $0.03 in EPS and $21.74 billion in revenue for the 2019 fiscal year.
The company also expects to see adjusted EBITDA in a range of $540 million to $590 million, updated from the previously disclosed range of between $615 million and $675 million.
In the release the company stated:
Based upon recent generic drug bid activity and on anticipated generic drug market conditions for the balance of the year, generic drug purchasing efficiencies are expected to be significantly below Rite Aid’s previous experience and will not meet the company’s expectations for the year. The company now expects generic drug purchasing efficiencies to be approximately $80 million less than when Rite Aid established its fiscal 2019 outlook.
Note that the company’s outlook for sales and same-store sales remains unchanged as sales, prescription count growth and pharmacy reimbursement rates continue to be in line with expectations. The expectations for capital expenditures also remain unchanged.
Shares of Rite Aid traded down more than 10% to $1.64 shortly after Monday’s opening bell. The consensus analyst price target is $1.97 and a 52-week trading range is $1.38 to $2.80.
100 Million Americans Are Missing This Crucial Retirement Tool
The thought of burdening your family with a financial disaster is most Americans’ nightmare. However, recent studies show that over 100 million Americans still don’t have proper life insurance in the event they pass away.
Life insurance can bring peace of mind – ensuring your loved ones are safeguarded against unforeseen expenses and debts. With premiums often lower than expected and a variety of plans tailored to different life stages and health conditions, securing a policy is more accessible than ever.
A quick, no-obligation quote can provide valuable insight into what’s available and what might best suit your family’s needs. Life insurance is a simple step you can take today to help secure peace of mind for your loved ones tomorrow.
Click here to learn how to get a quote in just a few minutes.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
