Boots Reports Strong Quarterly Performance as Takeover Looms

The UK’s leading pharmacy and retail chain Boots has delivered another robust quarter of growth, marking its 17th consecutive period of market share gains amid an impending £10 billion private equity takeover of its parent company.

The retailer, owned by Walgreens Boots Alliance (WBA), achieved a 5 per cent increase in total sales during the three months to May’s end, compared to the previous year. Retail sales saw a 6 per cent uptick, while pharmacy operations grew by 5.4 per cent, demonstrating the strength of its multichannel strategy.

Digital commerce remained a crucial growth driver, with the company’s online platform recording a 14.8 per cent surge in sales, now representing 17 per cent of total retail revenue. The success was particularly notable in the beauty sector, where newly launched Korean beauty brands resonated strongly with younger consumers.

The healthcare services division showed remarkable progress, with more than 240,000 patients utilising the company’s “online doctor” platform during the quarter. This digital health initiative now offers access to over 45 different health services, reinforcing Boots’ position as a healthcare innovator.

Parent company Walgreens reported group-wide revenues of $39 billion, exceeding Wall Street’s expectations of $36.66 billion. The positive results come as Walgreens prepares for its acquisition by Sycamore Partners, the New York-based private equity firm, in a deal valued at $10 billion.

Industry speculation suggests Boots could be positioned for a separate future, with potential options including a sale, spin-off, or independent listing. The UK operation continues to be viewed as the “jewel in the crown” of Walgreens’ portfolio, with former executive chairman Stefano Pessina potentially emerging as a bidder should the business be divested.