Growing Margins Help Rite Aid Corporation (NYSE:RAD)
Rite Aid Corporation (NYSE:RAD) reported notable quarterly-results that were boosted by growing margins and hearty sales growth and the earnings projections have resultantly headed north. The company is the 3rd largest retail drugstore in the U.S in terms of the number of stores it has and on the basis of its revenues as well. Over 255 of the United States’ population heads for Rite Aid Corporation (NYSE:RAD)’s stores at least once on an annual basis. Of the total sales in the financial 2013 year, its pharmacy operations raked in 67.6% of the company’s revenue.
The company reported its earnings results for the quarter that ended 20 September 2013. There was a 0.8% rise in revenues mainly due to the rise in same-store sales. To a certain degree this was offset by the closure of some stores. For the quarter, the company had a $32.8M net income in comparison with the $38.8M net loss that it had in the same quarter of 2012. This rise in net income was largely due the rise in EBITDA and the dip in the interest-expense which was partly-offset by loss on debt-retirement.
In Thursday’s trading, Rite Aid Corporation (NYSE:RAD) rose by 1.95%. The opening price of the shares was $5.16, which climbed to an intraday high of $5.25 and dipped to a close of $5.22. Approximately 14.39 million shares were traded on Thursday while an average volume of 37.99 million shares were traded over a 30 day period. The 52-week low of Rite Aid Corporation (NYSE:RAD) shares is $0.95 and its 52-week high is $5.44. The company has a market capitalization of $4.78 billion.
About the company
Rite Aid Corporation (NYSE:RAD) is a retail drugstore-chain that operates in the United States. As of 3 March 2013, the company operated 4,623-stores across 31 states in the country & in the District of Columbia.