Rite Aid profit tumbles 55%
Rite Aid’s fiscal firstquarter profit fell 55%, mainly on costs tied to a $2billion acquisition, and the drugstore chain lowered its 2016 profit forecast.
The company booked $36 million in pre-tax costs tied to its pending acquisition of the pharmacy benefits manager EnvisionRx.
Rite Aid earned $18.8 million, or 2 cents a share, in the quarter, compared with $41.4 million, or 4 cents, last year.
Earnings, adjusted for costs related to mergers and acquisitions, were 4 cents a share. That topped average analyst expectations of 2 cents, according to Zacks Investment Research.
Revenue climbed nearly 3% to $6.65 billion.