Walgreens Cuts Dividend, Battles Labor Shortage and Theft While Right-Sizing Store Footprint
• Walgreens slashed its dividend payment by nearly half for fiscal Q1 2024 to bolster balance sheet
• Labor shortage of pharmacists is a challenge; Walgreens trying to partner with pharmacy schools and adding automation
• Walgreens reducing store count by 200 this year, which could help address pharmacist shortage
• Shrink (theft/shoplifting) increasing further and impacting retail margins
• Shrink seems to have reset to a new higher baseline industry-wide