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Jean Coutu Group boosts Q1 adjusted earnings slightly; revenue flat

The Canadian Press

LONGUEUIL, Que. - The Jean Coutu Group (TSX:PJC.A) has reported a large drop in net income in its fiscal 2014 first quarter, mainly due to much smaller gains from the sale of shares in U.S. pharmacy chain Rite Aid compared with the year-earlier period.

The Quebec-based pharmacy chain operator said net income in period ended June 1 was $108.6 million or 51 cents per share, down from $397.3 million or $1.81 per share in the fiscal 2013 quarter.

Revenue was $681.6 million, almost unchanged from $681.5 million in the prior-year period.

Net profit excluding gains related to the investment in Rite Aid were $54.2 million or 26 cents per share in the three months ended June 1.

That was up from $51.6 million or 24 cents in the prior-year period and easily beat analyst expectations for adjusted earnings of 19 cents per share.