Analysts were encouraged by Rite Aid's same-store sales growth of 2% in the fiscal year ending March 2012, plus a double-digit sales growth in the fourth quarter. They were also cheered by strong performance of the chain's immunization and loyalty programs.
However, that doesn't mean the nation's third largest drugstore chain will be in the black any time soon. Debt from pre-crisis acquisitions and costs of restructuring continue to eat into profits. The company recently posted its 19th consecutive quarterly loss and it expects to post more losses in the fiscal year ending 2013. In a recent earnings call, Rite Aid predicted profit shortfall of between $103 million and $267 million. That's not quite so bad compared with its multi-billion dollar losses two and three years ago.