Financial Wire

Research Alert: Aci: Eps Beat But Identical Sales From Pharmacy Headwinds Disappoint

-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:

ACI delivered mixed Q4 results with adj-EPS of $0.48 (+4% Y/Y) beating consensus by $0.04, though identical sales of 0.7% significantly missed the 1.7% estimate. The company reported a GAAP net loss of $(481)M or $(0.94) per share due to a $600M opioid settlement charge. The identical sales miss was driven by greater-than-expected impact from the Inflation Reduction Act's Medicare Drug Price Negotiation Program, which pressured pharmacy sales, a key growth driver that has helped offset core grocery weakness. For FY 27, management guided to 0%-1% identical sales growth (vs. 1.5% consensus), incorporating an estimated 150 bps IRA headwind, with adj-EBITDA of $3.85B-$3.925B (vs. $3.9B consensus). Digital sales growth decelerated to 16% from the prior quarters' low-20% pace, while gross margins fell 25 bps Y/Y on increased delivery and handling costs. ACI raised its dividend 13% to $0.17 per share and expanded share buyback authorization to $2.0B, demonstrating management's commitment to returning capital.

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Aspial Lifestyle Prices SG$28 Million Worth of Bonds; Shares Up 7%

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