Rite Aid stock slides 11% premarket after company posts bigger-than-expected Q2 loss

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Rite Aid shares slump as it forecasts bigger loss for this fiscal year

Rite Aid Corp. stock RAD, +7.16% slid 11% in premarket trade Thursday, after the pharmacy retail chain posted a wider-than-expected loss for its fiscal second quarter as it booked goodwill impairment charges on its pharmacy services segment as well as charges for higher facility exit and store closures. The company had a net loss of $331.3 million, or $6.07 a share. for the quarter to Aug. 27, wider than the loss of $100.3 million, or $1.86 a share, posted in the year-earlier period.

113 billion a year ago, but was ahead of the $5.773 billion FactSet consensus."As we look to the second half of the year, we expect continued pressure on consumer spending and supply chain challenges," CEO Heyward Donigan said in a statement."At the same time, we are ready to meet a high demand for immunizations, while driving continued strong performance at Elixir and further SG&A expense reductions." The company is sticking with revenue guidance for fiscal 2023 of $23.

 

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