Shares of Rite Aid Corp.
RAD,
-7.25%

dropped 3.9% in premarket trading Thursday, reversing an earlier gain, after the drugstore chain reported a narrower-than-expected fiscal second-quarter loss, citing “strong execution” of COVID-19 vaccine administration, even as revenue came up short and the full-year loss outlook was widened. The net loss for the quarter to Aug. 28 widened to $100.3 million, or $1.86 a share, from $13.2 million, or 25 cents a share, in the year-ago period, citing higher litigation settlements, higher loss on sale of assets and a loss on debt modifications. Excluding nonrecurring items, the adjusted per-share loss was 41 cents, compared with the FactSet loss consensus of 48 cents. Revenue rose 2.2% to $6.11 billion, below the FactSet consensus of $6.21 billion, as retail pharmacy revenue grew 6.5% to $4.28 billion while pharmacy services revenue fell 6.9% to $1.90 billion. For fiscal 2022, the company affirmed its revenue guidance range of $25.1 billion to $25.5 billion but widened the adjusted per-share loss guidance to 90 cents to 53 cents from 79 cents to 24 cents. The stock has tumbled 25.4% over the past three months through Wednesday, while the S&P 500
SPX,
+1.40%

has gained 3.6%.

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