In late March, Walgreens reported a nearly $6B loss in Q2 largely attributed to a $5.8B impairment charge reflecting the declining value of its VillageMD majority stake.

• The write down follows a revision to VillageMD’s internal financial model reflecting MA headwinds, clinic closures, and slower-than-expected patient growth and multispecialty productivity.

• The company has already shut down 140 VillageMD clinics (out of 680 as of January 2023) and plans to shutter 160 in total, raising hopes on the company’s call with investors that margins might improve later in the year.

  • According to a spokesperson, the company has closed locations in Florida, Indiana, Illinois, Massachusetts, Rhode Island, and Nevada.