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Wednesday, March 24, 2021

Rite Aid down 18% after lower 2021 guidance on 'soft' flu season

 Shares of Rite Aid Corp. RAD, -2.38% fell more than 18% in the extended session Wednesday after the drugstore chain lowered its guidance for fiscal 2021, saying its bottom line was "significantly" hampered by a "soft" cold and flu season, the ongoing pandemic, and "challenging" weather. Same-store sales fell about 5.6% in the quarter ended in February, mostly due to a decline of nearly 37% percent in cough, cold and flu-related categories, the company said. Rite Aid also said it had administered about 1 million COVID-19 vaccines in March to date. The company said it expects fiscal 2021 revenue of about $24 billion, with same-store sales expected to increase about 3.5% compared with fiscal 2020. It called for a net loss between $90 million and $100 million for the year, and an adjusted EBITDA between $425 million and $435 million. Liquidity is about $1.7 billion, it said. Rite Aid is scheduled to report fourth-quarter results on April 15. The stock ended the regular trading day down 2.4%.

https://www.marketwatch.com/story/rite-aid-stock-down-18-after-lower-2021-guidance-on-soft-flu-season-2021-03-24

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