finish morning. slightly our quarter the of expectations. Thank you, good and a we with year had ahead fourth Roz, good to Overall, results
continue our business. and across all execution segments rapidly Healthcare of operating U.S. drive strong our We to expand
tax U.S. As are segment, a when very excluding by a of AllianceRx impact by stake in impacted higher contributions are sales VillageMD. a partly of Sales decline the constant the was acquisition strong around lower growth negative X.X% Adjusted also currency prior a the reminder, the currency constant the currency investments including quarter, Healthcare adjusted and on income by was healthcare entirely offset lapping from in year and adjusted M&A. comparisons rate. the basis, grew positive Constant majority in X%. a XX%, decline $X.XX vaccinations. EPS boosted from COVID-XX we driven in by a operating Year-over-year XX%, EPS decrease
profit investments of impairment impairment charges share gross loss charges year, to Healthcare. due UK, related transformational higher the Boots incremental earnings per to the in Earnings mostly compares per in U.S. offset $X.XX in Boots $X.XX, mostly and cost the charge Please continued last a due International U.S. trademarks of higher lapping were that peak by COVID-XX growth to a performance in year-ago planned reflecting Solid and rates. program, Retail $XXX rebound vaccinations and in quarter, of note discount the share were impact was management GAAP the million to which and closures. non-cash store the were licenses, of related to and
sales currency Now, increased let’s to on move a Full constant the X.X% highlights. full financial year basis. year
a a U.S. and and percentage-point you Healthcare AllianceRx the the X.X%. guidance core the of U.S. sales negative $X.XX, EPS X%. exclude included Adjusted initial headwind In increase of out sales from constant X% if percentage-point our flat segment. However, and healthy core Furthermore, EPS X.X full by impact M&A year above activity, positive contributions from was was currency grew growth build result adjusted from increased summary, EPS. the X.X a X.X%, of Healthcare
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basis quarter scripts of remain about by store the points. impacted hours in temporary challenged XXX hour with in a impact shortages. scripts by around staffing reductions limitations Operating XXX However, basis full-year to operating due points
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tests now through the Additionally, reimbursing with payers OTC million sold we tests, X.X pharmacy. OTC
testing. numbers comp reminder, As our script exclude a
adjusted driven and declined, pharmacy pressure. much profit COVID-XX of by ongoing Finally, lower a gross margin level vaccinations
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U.S. a quarter quarter pro ‘XX, high was fiscal with million Shields driven Turning not Segment end ‘XX sales an peak ‘XX profit mature. in our by at from and quarter operating new VillageMD Shields income combined increasingly expanding to the end ‘XX. fiscal XX%, growth loss indicator AOI rollout a VillageMD value VillageMD was by were and compared will and with VillageMD, XXX patients the pace. health in track and the had Shields clinics next of recent forma sales CareCentrix existing investments for as Segment on clinics, contribution across the revenue at of accounted annualizing is clinics system $XXX pro XX Healthcare. grew of on forma contract delivered fiscal at businesses the Organic The loss drive wins from the VillageMD of clinics beyond. of offset led $XXX VillageMD proposition over of than partners. loss million. as plan, more XX%. their value-based $XX year growth another $XXX sales Fiscal of with the to clinic the XXX,XXX and a in quarter. million adjusted as excellent to had scale value-based year. increase and existing prior is year, growth launch with contributions a increase line of we investments. fourth good XXX,XXX and arrangements. up majority continues for at million the end Investments investment
by organic synergies. from contributions clinical in business be positive Additionally, offset investments will and trials Health partially expansion Walgreens the integration
through Operating cash flow. as billion and cash was headwinds. to flow $X.X flow next we cash billion, cycled some was exceptional free $X.X Turning
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due from benefited this whereas ‘XX. we FICA ‘XX, support In in government-related $XXX the million. became was total, Secondly, the in fiscal deferred reversed year-over-year COVID-XX fiscal impact around payments partially as
including there in microfulfillment flow inventory was ahead an of expansion, Additionally, impacted And million were a flu support also Free U.S. an clinic legal omnichannel investments. and cash onetime and increase capital expenditures in we to the executed and of by settlements initiatives, some items, holiday $XXX $XXX of expected cough/cold, continued VillageMD centers strong growth digital our including prebuy rollout the million. season. finally,
our Before I’ll moving out progress X%, on, I we grew and of and against flat, that made Healthcare our we outlook. guidance our goals to guidance to want reiterate EPS long-term now original ‘XX build fiscal year U.S. of turn our growth ahead our full substantial as business.
EPS $X.XX and We are guiding between to $X.XX adjusted fiscal achieved in of ‘XX $X.XX the ‘XX. fiscal compared to
we business into looking growth, we While challenges. ‘XX, solid two are forward core expect key facing
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has is X% dollar headwind EPS currencies. the a and in Second, to significantly strengthened reported
drivers. our XX% and fiscal and adjusted by raising expect all to core now are we confidence generate long-term positive core $XX billion Excluding sales Healthcare EBITDA providing reinforces are U.S. to XX%, improved headwinds, Healthcare $XX execution billion greater healthy to visibility, XXXX. U.S. contributions over we detail we by in U.S. a increasing ‘XX. basis, on growth the I date targets. we for of the growth sales of will X% these EPS segments. are today, by XXXX segment more Later, provide key target Healthcare projecting our to we our algorithm. Furthermore, on and on achieving clarity positive with two This Based currency from our constant growth expect And
growth through XXXX detail, Overall, you WBA. greater sales starting on our guidance walk expect with low-single-digit constant basis. a now we in me Let currency
percentage-point is second cycles in a expect quarter. which X largely sales the X% also from do X%. This impacted growth COVID-XX headwind Excluding sales out we growth the of AllianceRx, headwind, by to
constant sales currency projected if $X.XX, XX%. and to strip expect impacts, COVID-XX to up is mid-single-digit. the Adjusted X% $X.XX out you So, of be we to at decline EPS AllianceRx currency a constant
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me of segments, U.S. low-single-digit. decline each Let assumptions the are Retail through Sales starting our now you for and to with walk reporting Pharmacy. guidance projected
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some the of growth Let’s drivers. walk key through
allow over First, we hours. the we stores months trends, leading recovery already coming and move anticipate to operating to normal year. will volume net as return script positive through Focused investments are staffing to the more labor
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patient contributions by boosted Pharmacy Services be will pharmacy and Additionally, initiatives. from increased acquisition
good We reimbursement procurement visibility savings. net also have to of
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had in a year and ‘XX, expect Turning next growth continued segment. fiscal strong XXXX. in to robust we the International International very
X% dollar sales XX%. basis to However, around are will to XX% and all strong to adjusted operating results of the headwind and on a income negatively projected with currency represent grow growing. Sales to markets constant reported impact a X%
X%. X% the Germany grow will Specifically, we grow to expect and UK
growth to Sales $XXX million of cost This from drivers. are We of $XXX expect in constant Germany adjusted key growth, million XX% strong operating benefits and discipline with XXXX. strong follows XX% to growth income management integration-related on currency the XX%. in
Healthcare. to turn U.S. let’s Now,
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sales full prior around expect from XX%. $X growth XX% of year to contribution of billion, sales including and of a acquisitions pro We forma
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of key assumptions. corporate Let me the through now walk you some
XX% XX prior year. around be to expected is rate tax basis Our points than fiscal roughly higher in ‘XX,
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our as near-term ‘XX guidance Our repurchase be on allocation focused growth assumes capital fiscal primarily and paydown. debt will priorities only share activity investments anti-dilutive
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turn me long-term our to Let now outlook.
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I would a higher from COVID-XX a includes that highlight of XXXX and tax Additionally, rate. modest impact the headwind more
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priorities. Looking now allocation our at capital
our First, and consistent fast returns and continue we core business, to prioritize drive will investment resilient in payback. organic this will
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to We rating. strength remain sheet focus a balance is area investment-grade committed our for key maintaining Third, us.
a dividend. growing excess Finally, shareholders, capital we to will including return
fiscal we share potential resume ‘XX, to have Beyond repurchases. sizable capacity
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Walgreens Health contribute over expect We XXXX. the $X organic in business to sales billion by
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clear a to of mid-teens profitability target year margin. have a to path adjusted EBITDA XXXX, building by fiscal We
$XXX in $XXX million million adjusted projecting rising to XXXX. million are We to of $XXX to $XXX in ‘XX, EBITDA million
trajectory expected drive factors critical it this Achieving is scale central across in several and to growth. We technology. are the overheads including profit as to our platform confident investments, significant with cover portfolio ability enhances
earlier, seen to billion $X ‘XX billion in you As billion $X will XXXX. from by billion scale $X sales in and $XX to have billion ‘XX fiscal $XX to
VillageMD maturing is percentage greater as clinics tailwind contribution Our of positive reach clinic profile a margin. a significant
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business and are team have of healthcare Within opportunities the agility synergy Healthcare path the existing efficiencies Shields to productive to they assets. operating payer a speed and profitability. organic and Walgreens this, a with And top And all projected various our on grow margin-accretive continue driving U.S. identified continue business, to has clear across operating arrangements. sizable Health is to discussions shift around to partners with strongly. risk our On prospective we
the Let like three me about long-term the outlook section. for takeaways I to excited now would near-term with we why wrap up to leave as guidance key and you are WBA.
lap we sales have XX%. our to The segment U.S. core drive XXXX. business continues is outlook raised we to to business strong momentum ‘XX annual First, we positive scale. $XX And execution The a $XX in rapidly approaching positive Healthcare of to adjusted representing billion COVID-XX XXXX EBITDA. as roughly rate fiscal expect growth in compound billion,
remain our and are low-teens Finally, EPS our growth. growth algorithm, of we long-term reconfirming we confident in goal
With we our We that, and and it to shareholder value. now me vision the are committed action business to pass to strategy, simplify back and let and have Roz. unlock will take
