Boots has recorded a fall in its full-year profits as its sales and margins were eroded by stiff competition from its rivals.
The health and beauty retail giant recorded a 20% decline in pre-tax profits year on year to ÂŁ398m in 12 months to August 31, 2018, while operating profit fell 22.3% to ÂŁ391m.
The retailerâs revenue slipped 0.8% to ÂŁ6.7bn during the period.
Boots attributed the decline to increased competition hitting margins across its retail division, while its pharmacy income was hit by âgovernmental agencies seeking to minimise increases in the costs of healthcare, including pharmaceutical drug reimbursement ratesâ.
It closed a net one store during the year, ending the financial period with a store estate of 2,485.
The number of active users on the retailerâs Advantage Card loyalty scheme slipped 1.4% to 14.4 million.
Bootsâ most recent full-year results come shortly after parent company Walgreens slashed the groupâs earnings forecasts following the âmost difficult quarterâ since the Walgreens Boots Alliance was formed in 2014.
Boots UK managing director Seb James has kicked off an overhaul of the retailerâs store estate and bolstered its brand portfolio since taking the reins, including partnerships with cult favourites including Fenty Beauty, in a bid to win back relevance with beauty shoppers.
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