Rite Aid Posts Flat Sales, Misses Forecast

CAMP HILL, Pa. -- Drugstore operator Rite Aid (RAD Quote) on Thursday reported weaker-than-expected sales in the fiscal third quarter, and also fell short on a key measurement of retailer health as it posted disappointing same-store sales in November.

Rite Aid said traditional holiday sales were not as strong as they were last year because of a later Thanksgiving, while sales of recently introduced generic drugs hurt its pharmacy sales.

The company's total sales decreased 0.9% in the fiscal third quarter, to $6.44 billion from $6.5 billion. Analysts had expected $6.49 billion, according to Thomson Reuters. The period ended Nov. 29.

In November, Rite Aid said its same-store sales, or sales open at least one year, were flat compared with the same period in 2007. Same-store pharmacy sales edged up 0.2%, as Brooks Eckerd pharmacies continued to struggle, and front-end, or non-pharmacy, sales fell 0.4%. ...