Walgreens September Sales Increase 8.0 Percent
DEERFIELD, Ill. -- October 3, 2013
Walgreens (NYSE: WAG) (Nasdaq: WAG) had September sales of $5.92 billion, an
increase of 8.0 percent from $5.48 billion for the same month in fiscal 2013.
Total front-end sales increased 4.1 percent compared with the same month in
fiscal 2013, while comparable store front-end sales increased 2.9 percent.
Customer traffic in comparable stores decreased 0.8 percent while basket size
increased 3.7 percent.
Prescriptions filled at comparable stores increased by 9.6 percent in
September and increased 6.7 percent on a calendar day-shift adjusted basis.
This year’s September had one additional Monday and one fewer Saturday
compared with September 2012. These calendar shifts positively impacted
prescriptions filled at comparable stores by 2.9 percentage points.
Prescriptions filled at comparable stores also were positively impacted by 0.8
percentage point due to more flu shots versus last year and were negatively
impacted by 0.2 percentage point due to lower incidence of flu in this year’s
September pharmacy sales increased by 10.4 percent, while comparable store
pharmacy sales increased 10.2 percent and increased by a calendar day-shift
adjusted 7.3 percent. Calendar day shifts positively impacted pharmacy sales
in comparable stores by 2.9 percentage points. Calendar day-shift adjusted
comparable store pharmacy sales were negatively impacted by 0.7 percentage
point due to generic drug introductions in the last 12 months, and were
positively impacted by 0.5 percentage point due to more flu shots versus last
year. Pharmacy sales accounted for 65.0 percent of total sales for the month.
Flu shots administered at pharmacies and clinics season to date were more than
1.9 million versus approximately 1.6 million last year.
Sales in comparable stores increased by 7.4 percent in September. Calendar day
shifts positively impacted total comparable sales by 1.9 percentage points,
while generic drug introductions in the last 12 months negatively impacted
total comparable sales by 0.5 percentage point.
Calendar 2013 sales to date were $54.11 billion, an increase of 4.1 percent
from $51.97 billion in 2012.
Walgreens opened 17 stores during September, including eight relocations, and
On Sept. 30, Walgreens operated 8,590 locations in all 50 states, the District
of Columbia, Puerto Rico, Guam and the U.S. Virgin Islands. That includes
8,123 drugstores, 77 more than a year ago, including five net stores acquired
over the last 12 months. The company also operates infusion and respiratory
services facilities, specialty pharmacies and mail service facilities. Its
Take Care Health Systems subsidiary manages more than 700 in-store convenient
care clinics and worksite health and wellness centers.
September Comparable Sales and Prescriptions Filled
Calendar Cough, Flu
Shift Generics Cold, Flu Shot
Actual Impact Impact Impact Impact
Total Comp Sales 7.4 % 1.9 % -0.5 % 0.0 % 0.3 %
Comp Front End 2.9 % - - - -
Comp Rx Sales 10.2 % 2.9 % - 0.7 % - 0.1 % 0.5 %
Comp Rx Scripts 9.6 %* 2.9 % - - 0.2 % 0.8 %
* Includes +2.3 percentage points from patients filling more 90-day
Please note: Sales numbers and the adjustments shown in the table are
preliminary, unaudited and subject to revision. Comparable stores are defined
as those drugstore locations open for at least 12 consecutive months without
closure for seven or more consecutive days and without a major remodel or a
natural disaster in the past 12 months. Acquired operating locations and
relocations are not included as comparable stores for the first 12 months
after the acquisition or relocation.
Cautionary Note Regarding Forward-Looking Statements: Statements in this
release that are not historical are forward-looking statements made pursuant
to the safe harbor provisions of the Private Securities Litigation Reform Act
of 1995. Words such as "expect," “likely,” "outlook," “forecast,” "would,"
"could," "should," “can,” “will,” "project," "intend," "plan," "goal,”
“target,” “continue," "sustain," “synergy,” "on track," "believe," "seek,"
"estimate," "anticipate," "may," “possible,” "assume," and variations of such
words and similar expressions are intended to identify such forward-looking
statements. These forward-looking statements are not guarantees of future
performance and involve risks, assumptions and uncertainties, including, but
not limited to, those described in Item 1A (Risk Factors) of our most recent
Annual Report on Form 10-K and Quarterly Report on Form 10-Q, each of which is
incorporated herein by reference, and in other documents that we file or
furnish with the Securities and Exchange Commission. Should one or more of
these risks or uncertainties materialize, or should underlying assumptions
prove incorrect, actual results may vary materially from those indicated or
anticipated by such forward-looking statements. Accordingly, you are cautioned
not to place undue reliance on these forward-looking statements, which speak
only as of the date they are made. Except to the extent required by law,
Walgreens does not undertake, and expressly disclaims, any duty or obligation
to update publicly any forward-looking statement after the date of this
report, whether as a result of new information, future events, changes in
assumptions or otherwise.
Jim Graham, 847-315-2925
Rick Hans, CFA, 847-315-2385
Ashish Kohli, CFA, 847-315-3810
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