CAMP HILL, Pa. (AP) -- Rite Aid Corp.'s revenue from established stores climbed 1.3 percent last month, even though generic drugs continued to dent its performance.
The Camp Hill, Pa., company said Thursday that pharmacy revenue from stores open at least a year climbed 1.6 percent, despite a hit from cheaper generic drug introductions, while front-end sales rose 0.7 percent.
Revenue from stores open at least a year — or same-store sales — is considered a key indicator of retailer health because it leaves out results from locations that have opened or closed in the last year. Rite Aid ran 4,611 drugstores at the end of July, or 35 fewer than the same period last year.
Rite Aid is the nation's third-largest drugstore chain, trailing Walgreen Co. and CVS Caremark Corp.
An influx of cheaper generic equivalents of brand-name medicines has hurt drugstore chain revenue for several quarters. But the generics also help drugstore earnings because they come with a wider margin between the price the pharmacy pays to buy them and the reimbursement it receives for doling them out.
Rite Aid's total drugstore revenue for the four-week period that ended July 27 was $1.9 billion.
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