Rite Aid Corporation (NYSE: RAD) may be set for a decent day as the perpetually troubled drug store chain managed to post a loss that was about half of expectations: revenues were $6.3 billion and that generated a loss of $52.0 million for its third quarter. The company reported a loss at -$0.06 EPS versus expectations of -$0.13 EPS and versus -$0.09 EPS the prior quarter.
The company is still in a grossly different position versus rivals Walgreen Co. (NYSE: WAG) and CVS Caremark Corporation (NYSE: CVS).
It is not a forecast of earnings yet, but the company is also narrowing its loss expectations for 2012. The new forecast is -$0.50 EPS to -$0.37 EPS versus a prior target of -$0.56 EPS to -$0.40 EPS.
Revenues are also now put in a range of $25.85 billion to $26.0 billion for the year, but the prior target given was $25.8 billion to $26.1 billion in revenues. The consensus estimates are -$0.45 EPS and $25.86 billion for the year. Keep in mid that the annual 2012 is for the year ending on February 29, 2012.
The results were credited with a “well-planned and executed flu immunization program and continued favorable customer response to our wellness+ loyalty program.” Rite Aid also said that it has already provided over twice the number of flu shots from 2010 and is on pace to achieve its goal of administering 1.5 million immunizations for this season. It also claims that it now has more than 47 million enrolled members in its wellness+ program.
Rite Aid shares closed at $1.14 on Wednesday and the 52-week trading range is $0.85 to $1.47.
JON C. OGG
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