Walgreens Boots Alliance on Thursday exceeded Wall Street’s expectations for fiscal fourth-quarter earnings, as the company saw a surge in demand for Covid-19 vaccines amid a growing number of employer mandates

In premarket trading, shares were higher than 2% in the early hours of Thursday

The drugstore chain administered 13.5 million vaccines during the three-month period — nearly double the approximately 7 million that it had expectedDuring the 3-month period. The country is set for another surge of vaccinations, as more people are given booster shots. younger children are expected to soon qualify for the shots

In an interview with CNBC, CEO Roz Brewer stated that mandates “are playing a part.” Bertha Coombs. There are many cities, towns and companies that mandate and it makes people feel like they have to get to work. It’s imperative that I get this vaccine. This is why there’s an increase in the number of people who have it. We’re already seeing this in our shops.”

Plus, she said, people are concerned about getting Covid — especially with the delta variant.

Walgreens reported that it saw a rise in sales due to vaccinations and an increase in the demand for prescriptions for flu, cold and cough medications.

Additionally, it stated that the company had reached $2 billion of annual savings in a year before schedule.

On Thursday, the virtual investor day will take place at the chain of drugstores. Brewer, Walgreens’ new CEOIt is anticipated that she will outline her strategies for driving growth and refreshing the brand of the company. It will share its fiscal outlook for next year.

Below is a comparison of what Walgreens reported and what analysts had expected for the fourth quarter that ended August 31. Refinitiv data used in this calculation:

• Earnings Per Share: $1.17 adjusted, vs. expected $1.02
• Revenue Expected $34.26 Billion vs. $33.30 Billion

The quarter’s net income rose by $627million, which is 72 cents per share. from $373 million, or 43 cents per share, a year earlier. Walgreens’ continuing operations earned it $358million, which is 41c per share, in its most recent quarter.

However, the earnings of the company were higher than expected, at $1.17 per shared, when you exclude items.

Revenues rose to $34.26Billion An increase of $30.37 billion from a year ago, which is higher than analysts’ expectations for $33.30 billion.

Online and in Walgreens shops that have been open for at least one year, sales rose 8.1% over the previous quarter. This was due to more people getting Covid-19 vaccines and filling out more prescriptions. Year-over-year sales of wellness and health products rose 14% as more people bought Covid test kits, vitamins, and other over-the-counter medicines for cold, flu, and cough.

Brewer claimed that Covid vaccinations have had an “halo effect” on front-of-store sales. She said that people bought other types of merchandise as they walked or waited 15 minutes to get their shots. Walgreens would like to offer more vaccines for Hepatit B, and other diseases.

Its international segment — which includes United Kingdom-based chain, Boots — is rebounding after Covid-19 restrictions were lifted in July. The Boots U.K. sales have increased at least 11.4% for pharmacy services, and 15.5% in retail over the same period last year.

According to the company, although traffic is increasing at Boots’ stores along main streets near workplaces and commuter hubs is not as high as it was before the pandemic, foot traffic is lower than in previous years.

It said that it had distributed more than 40,000,000 Covid vaccines. In the third quarter of 2018, 17 million vaccines were administered.

Walgreens Boots Alliance shares were up 19% as of Wednesday’s closing. Its market value is $40.88 million. On Wednesday, shares were closed at $47.26, a decrease of less than 1%

Read the company’s press release here.