Boots blames ‘weak’ retail conditions for fall in UK sales
Boots has recorded a fall in sales in the first quarter as it becomes the latest UK retailer to be hit by tough high street conditions.
The pharmacy and health chain's US owner, Walgreens Boots Alliance, said comparable pharmacy and retail sales fell 3.5 per cent and 2.6 per cent respectively.
It said the company’s improved market share was “more than offset” by the weak retail environment.
Boots saw a fall in first quarter sales across its international division, dropping 5.9 per cent compared to the same period last year to $2.9bn (£2.3m).
The company said the decline reflected an adverse currency impact of 2.3 per cent.
Despite the lacklustre international performance, Walgreens Boots Alliance saw double digit percentage growth in earnings per share and an overall sales rise of 9.9 per cent to $33.8bn.
Executive vice chairman and chief executive Stefano Pessina said, “We are pleased to have delivered double digit percentage growth in earnings per share in the first quarter, including solid results in the US.
“Today we are reaffirming our fiscal 2019 guidance and announcing the launch of a new transformational cost management program, which is targeting annual cost savings of more than $1bn by the end of the third year, to better position ourselves to meet our long term targets.”
Boots blames ‘weak’ retail conditions for fall in UK sales
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