The Iconic U.S. Pharmacy Brand That Is Closing 1,200 Stores

Walgreens, one of the largest pharmaceutical chains in the United States, continues its restructuring process. It has announced that it will close 450 stores during the fiscal year 2025. This closure is part of a broader plan to improve the chain's profitability.

Walgreens Will Close 1,200 Stores in Three Years

Walgreens's plan is to close approximately 1,200 stores in the United States over the next three years. This process began in 2024 and will continue through 2025 and 2026. According to Walgreens, the closures are intended to improve the company's efficiency and profitability.

Timothy Wentworth, CEO of Walgreens Boots Alliance, explained that about 25% of the chain's stores were not generating the expected results. These stores did not align with the company's long-term strategy. Therefore, the decision was made to close them.

Of the 1,200 stores to be closed, about 500 will be closed during the fiscal year 2025. This fiscal year will end in August 2025. Seventy stores have already been closed in the first quarter of 2025. Additionally, about 450 more will be closed before the fiscal year ends.

Walgreens Accelerates the Change

Walgreens has closed around 2,000 stores in the last 10 years. It has accelerated this closure process to better adapt to market conditions. Although many closures have already been made, the company plans to increase its pace of closures in the coming months.

The Walgreens Stores That Will Close

Although an official list has not been published, several reports have indicated some locations that will close in 2025. The affected stores include:

• Tallahassee, Florida: Closing on February 25, 2025.

• Quincy, Massachusetts: Closing on February 27, 2025.

• Augusta, Georgia: Closing on February 20, 2025.

• Chicago, Illinois: Five stores will close between February 17 and 27, 2025.

• Oakland, California: Two stores will close between February 24 and 27, 2025.

• San Francisco, California: At least a dozen stores will close between February 24 and 27, 2025.

Walgreens's restructuring is a response to the decline in retail sales and challenges related to drug reimbursements. It seeks to concentrate its resources on the more profitable stores. Walgreens also plans to focus its efforts on improving the customer experience in the stores that will remain open.

Despite the closures, investors have reacted positively. Since the company presented its financial results in January 2025, Walgreens Boots Alliance's shares have risen by 35%. This reflects confidence in its cost-reduction plan, which aims to save 1 billion dollars.

Walgreens Envisions Its Future

Wentworth emphasized that the stores that will not close are "stronger" and will continue to be part of the company's long-term strategy. Walgreens plans to focus on improving these stores to ensure their success in the future.

Walgreens is facing increasing competition in the pharmaceutical market. The company is struggling to maintain its position against competitors like CVS and Rite Aid. The restructuring aims to ensure that Walgreens can compete effectively and remain strong in the market.

Walgreens's strategy is clear: close underperforming stores and focus on the more profitable ones. In the long term, the company expects this restructuring to allow it to improve its profit margins and strengthen its market presence. Customers who continue to visit Walgreens's open stores will find a company more focused on their needs.