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Walmart announced that it will close all of its healthcare centers across the country and end its virtual healthcare services. Walmart operates 51 clinics in six states: Arkansas, Florida, Georgia, Illinois, Missouri, and Texas. The clinics offer primary and urgent care, X-rays, dental work, lab work, and behavioral health services.
Walmart, the largest retailer in the country, said that the business venture, which it started in 2019, was unable to turn a profit. It cited the "challenging reimbursement environment and escalating operating costs."
"The decision to close all 51 health centers across five states and shut down the virtual care offering was not easy. We understand this change affects lives – the patients who receive care, the associates and providers who deliver care, and the communities who supported us along the way," the company said in a statement.
Walmart said it will not be closing down its 4,600 pharmacies or 3,000 Vision Centers.
Health experts are concerned about the closures because many of the clinics were opened in rural and underserved areas lacking healthcare options.
"One of the unique things was they were focused on stores located in underserved communities. It's disappointing that Walmart wasn't able to make it work because these patients need care and don't have as many options," Ateev Mehrotra, a professor of health care policy and medicine at Harvard Medical School who researches retail health clinics, told CNN.