LONDON, January 20, 2015 /PRNewswire/ --
Investor-Edge.com has issued free post-earnings review on Rite Aid Corp. (NYSE: RAD). On December 18, 2014, the company reported financial results for Q3 FY15 (period ended November 29, 2014). Click on http://get.Investor-Edge.com/pdf/?c=Rite%20Aid&d=20-Jan-2015&s=RAD to read our free earnings review on Rite Aid Corporation (Rite Aid). During Q3 FY15, the company's revenue improved 5.3% Y-o-Y. Rite Aid's adjusted EBITDA for Q3 FY15 increased to $332.77 million from $282.26 million in Q3 FY14. Chairman and CEO, John T. Standley expressed his pleasure over the company's performance during the reported quarter. He informed that the company's focus on expanding its health and wellness offering and delivering a higher level of care to the communities it serves drove Rite Aid's strong same-store sales, prescription count and gross profit. Our free coverage report can be accessed at:
During Q3 FY15, Rite Aid's revenue increased to $6.69 billion from $6.36 billion in Q3 FY14. The company's Q3 FY15 revenues exceeded Bloomberg analysts' forecasts of $6.64 billion. The increase in revenue is primarily attributable to an increase in same store sales. Rite Aid's same store sales for the quarter increased 5.4% Y-o-Y, consisting of a 1.6% Y-o-Y increase in front-end sales and a 7.2% Y-o-Y increase in pharmacy sales. The free research on RAD can be downloaded as in PDF format at:
For Q3 FY15, Rite Aid's net income increased to $104.85 million, or $0.10 per diluted share, from $71.55 million, or $0.04 per diluted share, in Q3 FY14, primarily due to an increase in adjusted EBITDA and a lower LIFO charge, and partially offset by a higher loss on debt retirement related to the redemption of the company's 10.25% senior secured notes. Moreover, the company's Q3 FY15 net income outperformed Bloomberg analysts' forecasts of $54.76 million, or $0.05 per diluted share. Further, Rite Aid's adjusted EBITDA as a percentage of revenues improved to 4.97% from 4.44% Q3 FY14.
Mr. Standley stated that based upon Rite Aid's strong Q3 FY15 results, the company has raised its guidance for full year FY15. The company now expects adjusted EBITDA to be in the range of $1.275 billion and $1.305 billion for the year. Net income is expected to be between $315.0 million and $370.0 million and income per diluted share between $0.31 and $0.37 in FY15. Rite Aid anticipates sales in FY15 to be in the range of $26.25 billion and $26.4 billion and expects same store sales to grow the range of 3.75% - 4.25% Y-o-Y in FY15. Further, the capital expenditures in FY15 are projected to be approximately $525 million. Sign up and read the free analyst's notes on RAD at:
During Q3 FY15, Rite Aid relocated 3 stores, remodeled 103 stores and expanded 1 store, bringing the total number of wellness stores chainwide to 1,529. In addition, the company also acquired 6 stores and closed 6 stores, resulting in a total store count of 4,572 at the end of Q3 FY15.
On the day of earnings release, December 18, 2014, Rite Aid's stock rallied 11.88% to end the session at $6.78. The stock has moved both ways since then with gains outweighing losses so far. On the last close, Friday, January 16, 2015, the company's shares finished 0.82% higher at $7.40. Rite Aid's shares vacillated between $7.22 and $7.41 during the session. A total of 25.51 million shares were traded which was above its three months average volume of 20.79 million shares. Over the last one month and previous three months, shares of the company have rallied 22.11% and 58.12%, respectively. Further, the stock has surged 26.50% over the past one year. Shares in the company closed above their 50-day and 200-day moving averages of $6.32 and $6.52, respectively. Moreover, the stock traded at a PE ratio of 21.15 and has a Relative Strength Index (RSI) of 60.72. Visit Investor-Edge and access the latest research on RAD at:
Sneak Peek to Corporate Insider Trading
In the last one month, there were 27 insider transactions made by 6 individuals. Between December 22, 2014 and December 29, 2014, a total of 4.70 million shares of the company were bought at an average price of $1.09 per share and for a total value of $5.14 million. During the stated period, a total of 4.85 million shares were also disposed at an average price of $6.82 per share, for a total of $33.04 million. On December 22, 2014, John Standley purchased 1.70 million shares at price of $0.96 and sold an equal number shares at a price of $6.82 per share. On the same day, Frank Vitrano, Senior Executive Vice President and Chief Administrative Officer at Rite Aid, bought 1.07 million shares at an average price of $1.16 and sold an equal number of shares at a price of $6.79 per share. Additionally, Kenneth Martindale, President and Chief Operating Officer at Rite Aid, also purchased 1.04 million shares at an average price of $1.09 and sold an equal number of shares at a price of $6.80 per share. Complimentary in-depth research on RAD is available at:
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