Kansas.com: Business
Drugstore chain Walgreen Co. used cost-cutting to help it overcome tougher economic conditions in its fiscal first quarter, reporting a modest 5.5 percent profit increase Friday that surpassed Wall Street's expectations. The Deerfield, Ill.-based company also stepped up its already rapid expansion pace, opening a record 169 new stores to rocket past the 6,000 mark. Walgreen's earnings bump over the same quarter a year ago was notable in the face of challenges that have cut into the profits other pharmacy retailers. Net earnings for the September-through-October period were $455.5 million, or 46 cents a share, up from $431.7 million, or 43 cents a share, in the same period a year earlier. That was 2 cents a share above the consensus estimate of analysts surveyed by Thomson Financial. Revenue rose 10 percent to $14 billion from $12.7 billion, slightly below the $14.11 billion expected by analysts.