Rite Aid Q2 Profit Matches Estimates; Same Store Sales Down 2.5% - Quick Facts

(RTTNews) - Rite Aid Corp. (RAD) reported second-quarter net income of $14.8 million or $0.01 per share compared to $21.5 million or $0.02 per share, last year. The company said the decline in operating results is due primarily to a higher LIFO charge, and a decline in adjusted net income, partially offset by a $33.2 million loss on debt retirement in the prior year related to the redemption of the company's 8.00% senior secured notes.

Second-quarter adjusted net income was $35.5 million or $0.03 per share compared to $58.7 million or $0.06 per share, prior year. On average, seven analysts polled by Thomson Reuters expected the company to report profit per share of $0.03 for the quarter. Analysts' estimates typically exclude special items.

Second-quarter revenues were $8.0 billion compared to $7.7 billion in the prior year's second quarter, an increase of 4.8 percent. Analysts expected revenue of $8.17 billion, for the quarter. Retail Pharmacy Segment revenues were $6.5 billion and decreased 2.4 percent compared to the prior year period primarily as a result of a decrease in same store sales. Revenues in the Pharmacy Services Segment, which was acquired on June 24, 2015, were $1.6 billion. Second-quarter same store sales decreased 2.5 percent over the prior year, consisting of a 3.6 percent decrease in pharmacy sales, partially offset by a 0.1 percent increase in front-end sales.