After announcing plans last October to close up to 1,200 underperforming locations over the next three years, Walgreens continues to close stores as part of its ongoing turnaround strategy.
Currently, Walgreens operates roughly 8,500 locations in the U.S. (along with over 3,600 Boots stores in the U.K. and other markets). Walgreens has already closed around 2,000 stores over the last ten years.
Why is Walgreens closing stores?
In October 2024, Walgreens announced plans to begin shuttering underperforming stores across the U.S. to combat declining profits caused by factors including competition from Amazon and declining drug reimbursement rates.
The company has stated that 25% of Walgreens locations are not meeting standards of profitability.
The plan seems to be working so far, as investors are responding positively to the company’s cost-cutting measures. Since Walgreens reported its Q1 financial results on January 10, shares of Walgreens Boots Alliance have surged by 35%.
When is Walgreens closing stores?
The full slate of closures will occur over a three-year period, with about 500 stores slated to close in fiscal year 2025, which ends in August 2025. During the first quarter of fiscal year 2025, which ended on November 30, 2024, the company shut down 70 locations. Another 450 closures are planned by the end of 2025.
Which Walgreens locations are closing this month?
While Walgreens has shared a list of upcoming store closures, reports about specific locations are popping up via news sources in various cities. Confirmed closures in February include locations in:
- Tallahassee, Florida
- Quincy, Massachusetts
- Augusta, Georgia
- Chicago, Illinois
- Oakland, California
- Rockford, Illinois
- San Francisco, California