Drugstore chain Rite Aid Corp. said Thursday that sales at locations open at least a year fell 2.1 percent in January, as sales of drugs and of other items both decreased.
Revenue from pharmacies and from the front end of stores, where items like cosmetics and food are sold, each fell 2.1 percent. Rite Aid said new introductions of generic drugs reduced its pharmacy revenue by 2.1 percent. It filled 1.1 percent fewer prescriptions in the four weeks ended Jan. 23.
Prescription revenue was 69.3 percent of store revenue during the month.
Sales at stores open at least a year are considered a key measurement of retailer health because they show how a company's established stores are performing while leaving out newly opened locations.
Rite Aid said total revenue fell 3.3 percent for the period, to $1.91 billion from $1.98 billion. As of Jan. 23, the company operated 4,786 stores, down from 4,907 a year ago.
In a note to clients, Deutsche Bank analyst Bill Dreher blamed the decline in pharmacy revenue on lower sales of cough, cold and flu treatments.
"The company provided little detail in the press release, but we believe the slowdown in the cold and flu season since December is putting downward pressure on pharmacy sales," he wrote.
In afternoon trading, Rite Aid shares slid 3 cents, or 2.2 percent, to $1.35.
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