Walgreens Boots Alliance’s Upcoming Q4 Earnings Preview

Deutsche Bank analysts provided their outlook on Walgreens Boots Alliance, Inc. (NASDAQ:WBA) ahead of upcoming Q4 earnings, expected to be announced on Oct 13.

The analysts expect the company to report revenue of $32.4 billion (down 5% year-over-year) and EPS of $0.74 (down 37%). The Street estimate for revenue is $32.3 billion and $0.77 for adjusted EPS.

The company beat consensus modestly in Q3 on continued better-than-expected contributions from COVID vaccines and testing and a strong rebound in the international segment. However, analysts think COVID-driven benefits will start to wane in Q4.

The analysts will also be looking for how the company plans to navigate the weak consumer sentiment and supply chain challenges. In the last call, the company reiterated its full-year guidance of low single-digit EPS growth, implying softness in Q4 on a difficult comp and headwinds from investments in Health and labor. Since that call, the macroeconomic environment has only further deteriorated.