TORONTO Nov 12 Shoppers Drug Mart Corp,
Canada's largest pharmacy chain, on Tuesday reported slightly
lower quarterly net income due in part to charges from its
pending acquisition by Loblaw Co Ltd.
The company said third-quarter net income fell to C$165.8
million ($158.33 million), or 83 Canadian cents per share, from
C$167.7 million, or 81 Canadian cents per share, a year earlier,
when there was more outstanding stock.
Excluding special items, earnings per share were 88 Canadian
cents, up from 85 Canadian cents a year earlier.
Analysts on average expected earnings of 81 Canadian cents
per share, according to Thomson Reuters I/B/E/S.
Sales rose 2.4 percent to C$3.29 billion, meeting analysts'
estimates. Sales at established stores, a key measure for
retailers, were 2.2 percent higher.
But the average prescription value declined a further 2.7
percent during the quarter. Pharmacies have been hit by ongoing
regulation changes in Canada that put a cap on generic drug
Results also included C$14 million in costs from the Loblaw
In September, shareholders voted overwhelmingly in favor of
the C$12.4 billion sale to Canada's largest food retailer. The
transaction will probably be finalized before the end of the
first quarter after Canadian competition regulators give their