Particle.news
Download on the App Store

Albertsons Swings to Q4 Loss on Opioid Charge, Forecasts Flat FY26 Sales Under IRA Pressure

New Medicare drug pricing rules are squeezing pharmacy revenue for grocers with large pharmacy footprints.

Overview

  • Albertsons, which reported results Tuesday, posted a $480.8 million Q4 net loss after recording a $773.8 million opioid settlement charge to be paid over nine years without admitting wrongdoing.
  • Same‑store sales rose 0.7% in Q4 as pharmacy weighed on results by about 145 basis points from Inflation Reduction Act pricing changes and slower growth in GLP‑1 weight‑loss and diabetes drugs.
  • Quarterly revenue increased 7.7% to $20.25 billion, including about $1.4 billion from an extra week in the quarter, and adjusted EBITDA was $903 million.
  • For fiscal 2026, guidance calls for 0% to 1% identical sales and $3.85 billion to $3.93 billion in adjusted EBITDA, with a roughly 150‑basis‑point IRA headwind and planned capital spending of $2.0 billion to $2.2 billion.
  • Albertsons raised its quarterly dividend 13% to 17 cents and expanded its share repurchase authorization to $2 billion as it balances pharmacy headwinds with returns to shareholders.