Walgreens Boots Alliance GAAP net earnings decreased 15.3 percent
Staff Writer |
Walgreens Boots Alliance announced financial results for the third quarter fiscal year 2016 that ended May 31, 2016.
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Fiscal 2016 third GAAP quarter net earnings attributable to Walgreens Boots Alliance decreased 15.3 percent to $1.1 billion compared with the same quarter a year ago, while GAAP net earnings attributable to Walgreens Boots Alliance per diluted share decreased 14.4 percent to $1.01 compared with the same quarter a year ago.
The decreases in GAAP net earnings and GAAP net earnings per share reflect fluctuations in the quarterly fair value adjustments of the company’s AmerisourceBergen Corporation warrants.
Adjusted fiscal 2016 third quarter net earnings attributable to Walgreens Boots Alliance1 increased 14.7 percent to $1.3 billion compared with the same quarter a year ago.
Adjusted net earnings attributable to Walgreens Boots Alliance per diluted share for the quarter increased 15.7 percent to $1.18 compared with the same quarter a year ago. Fiscal 2016 third quarter earnings adjustments were a net increase to GAAP net earnings attributable to Walgreens Boots Alliance of $185 million or 17 cents per diluted share.
Net sales in the third quarter were $29.5 billion, an increase of 2.4 percent over the year-ago quarter, or 3.3 percent on a constant currency basis.
Combined net synergies were $330 million in the fiscal 2016 third quarter and $947 million in the first nine months of fiscal 2016. In June, the company achieved its goal set in 2012 to reach at least $1 billion in combined net synergies in fiscal 2016 relating to the strategic combination with Alliance Boots.
This excludes the synergy benefits related to the company’s strategic, long-term relationship with AmerisourceBergen, the benefits of refinancing the legacy Alliance Boots indebtedness at a lower cost and the proposed Rite Aid acquisition.
Walgreens Boots Alliance GAAP operating cash flow totaled $2.1 billion in the third quarter, while the company generated free cash flow of $1.9 billion in the quarter. ■