Walgreens is moving forward with its plan to close several stores as it works on a business turnaround.

The reduction in Walgreens locations has been anticipated. Back in October 2024, the company announced intentions to shut down approximately 1,200 underperforming stores nationwide, a move aimed at addressing falling profits due to reduced drug reimbursement rates and weak retail performance.

This initiative was deemed necessary since roughly 25% of Walgreens stores were not aligned with the company’s long-term strategies, as indicated by CEO Timothy Wentworth during an earnings call in June 2024.

The closures, slated to occur over a three-year period, will see approximately 500 stores shut down in the fiscal year 2025, which concludes in August 2025, according to Walgreens.

In the first quarter of fiscal 2025, which ended November 30, 2024, the company already closed 70 stores. Wentworth mentioned in a recent conference call that another 450 closures are planned by the end of 2025.

With around 8,500 locations across the U.S., in addition to more than 3,600 Boots branded outlets in the U.K. and elsewhere, Walgreens has already closed about 2,000 stores over the past ten years. Wentworth expressed the expectation to increase store closures significantly compared to the initial quarter levels.

He also noted that the stores remaining open showed significant improvement, despite still needing further enhancement compared to those slated for closure.

Investor confidence appears strong in the company’s $1 billion cost-reduction initiative, with Walgreens Boots Alliance shares witnessing a 35% increase since the Q1 financial report on January 10.

Walgreens Locations Closing in San Francisco and Beyond

While Walgreens has not released a specific list of stores set for closure, reports indicate several locations could close soon.

Some of the closures include: A store in Tallahassee, set to shut down on February 25, according to the Tallahassee Democrat, and another in Quincy, Massachusetts, scheduled for February 27, as reported by The Patriot Ledger, which, like the Democrat, is a member of the YSL News Network.

Other locations facing closures are:

• Augusta, Georgia: A store is set to close on February 20, reported by WRDW and WAGT News.
• Chicago: Five stores are expected to close between February 17 and February 27, as reported by WGN.
• Oakland, California: Two stores scheduled to close, one on February 24 and the other on February 27, according to KTVU.
• Rockford, Illinois: A store slated for closure on February 19, reported by WTVO.
• San Francisco: Around twelve locations are anticipated to close between February 24 and February 27, as per The San Francisco Standard.

Contributions by: Peter Blandino and TaMaryn Waters, YSL News Network and Reuters.

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