Rite Aid (RAD, $20.86) beats Q3 earnings estimates

Rite Aid   reported third-quarter earnings and sales that exceeded analysts’ expectations.  

The pharmacy retail company’s adjusted earnings for the quarter came in at 40 cents a share, compared to 2 cents expected by analysts.

Revenue rose +12% year-over-year to $6.12 billion, also topping analysts’ forecast of $5.84 billion.

For its fiscal 2021, Rite Aid hiked its  revenue guidance to between $23.9 billion and $24.2 billion (from its prior projection of $23.5 billion and $24 billion). It expects same- store sales growth to range between 3.5% and 4.5%, (from its prior guidance of between 3% and 4%. ).

"We are pleased with our third-quarter performance as we continue to grow our business and achieve major physical and digital milestones through our RxEvolution strategy," said Rite Aid CEO Heyward Donigan. Donigan also mentioned the launch of the company’s new brand and logo, and said that the company has made “substantial progress” in evolving its merchandise mix to support whole health.

Contributor

Sergey Savastiouk|Expert

Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.