Walgreens decided to streamline its retail business. About 150 stores in the United States and 300 in the United Kingdom will be closed. It was announced by James Kehoe, director of Walgreens Boots Alliance.
Walgreens is seeking to implement a cost-cutting program. The retailer expects to free up at least $800 million by 2024 to accumulate $4.1 billion. Earlier, the company completed a major restructuring, cutting about 500 employees.
The net profit of the pharmacy chain in the third quarter of 2023 decreased by 60% to $118 million. Sales forecasts were lowered amid market uncertainty and declining customer activity.
“We had called out COVID as a wildcard heading into the quarter and have unfortunately seen less patient willingness to vaccinate,” CEO Roz Brewer told analysts, noting that Walgreens administered 800,000 COVID-19 vaccines in the quarter, down 83% year over year, with testing “also down sharply.”
Walgreens is a U.S. retail pharmacy chain and company specializing in drugs, health and beauty products, and various consumer products. It is one of the largest pharmacy chains in the United States.
Walgreens was founded by Charles R. Walgreen’s in 1901 in Chicago. Since then, the company has expanded significantly and has thousands of pharmacies throughout the United States.
