Walgreens Plans ‘Significant’ Store Closures, Citing Weak Consumer Spending

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Walgreens is planning to close more of its roughly 8,700 stores in the United States, its parent company said on Thursday, after the retail pharmacy giant reported third-quarter earnings that fell short of analyst expectations. The pharmacy chain also cut its profit outlook for the year, citing worse-than-expected consumer spending. “We witness continued pressure on the U.S. consumer,” Tim Wentworth, the chief executive of Walgreens Boots Alliance, told investors during an earnings call on Thursday. “Our customers have become increasingly selective and price-sensitive in their purchases.” As of February, Walgreens has closed 625 U.S. stores. The company did not specify how many additional stores it would close as part of its “significant multiyear” program to cut back on costs. But roughly a quarter of the pharmacy chain’s U.S. stores — those that the company doesn’t see as crucial to its long-term strategy — could be affected, Mr. Wentworth said.