Kroger(KR)

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Kroger(KR) - 2026 Q1 - Earnings Call Presentation
2025-06-20 12:36
Financial Performance - GAAP Operating Profit was $1,322 million[5], while Adjusted FIFO Operating Profit reached $1,518 million[5] - GAAP EPS stood at $1.29[5], with Adjusted EPS showing a 4% growth[5] - Digital sales increased by 15% year-over-year, driven by strong delivery demand[6] Sales and Profitability - Identical Sales (excluding fuel) grew by 3.2%[5] - The company's Our Brands business accounts for approximately $37 billion in sales[14], and the eCommerce business generates around $14 billion[14] - Gross margin increased to 23% compared to 22% in the previous year[44] Guidance and Outlook - The company anticipates Identical Sales growth (excluding fuel) of 2.25% to 3.25% for the full year 2025[9] - The company projects Operating Profit to be in the range of $4.7 billion to $4.9 billion for fiscal year 2025[9] - Free Cash Flow is expected to be between $2.8 billion and $3.0 billion for the year[9]
Kroger(KR) - 2026 Q1 - Quarterly Results
2025-06-20 12:06
Sales Performance - Identical sales without fuel increased by 3.2% in Q1 2025 compared to Q1 2024[7] - Total company sales were $45.1 billion in Q1 2025, a decrease from $45.3 billion in Q1 2024, with a 3.7% increase excluding fuel and adjustment items[8] - Identical sales excluding fuel rose to $39,766 million in the first quarter of 2025, up 3.2% from $38,535 million in the same period of 2024[45] - eCommerce sales increased by 15% in Q1 2025[7] - Sales for Q1 2025 were $45,118 million, a slight decrease from $45,269 million in Q1 2024, representing a decline of approximately 0.3%[62] Profitability - Operating profit for Q1 2025 was $1,322 million, with adjusted FIFO operating profit at $1,518 million[6] - Adjusted EPS for Q1 2025 was $1.49, up from $1.43 in Q1 2024[6] - Gross profit for Q1 2025 reached $10,356 million, compared to $9,941 million in Q1 2024, marking an increase of about 4.2%[62] - Adjusted FIFO operating profit for Q1 2025 was $1,518 million, compared to $1,499 million in Q1 2024, indicating an increase of about 1.3%[58] - Operating profit for Q1 2025 was $1,322 million, slightly up from $1,294 million in Q1 2024, representing an increase of approximately 2.2%[58] Financial Guidance and Projections - Full-year 2025 guidance for identical sales without fuel has been updated to a range of 2.25% to 3.25%[17] - Adjusted free cash flow is projected to be between $2.8 billion and $3.0 billion for 2025[21] Debt and Liabilities - Kroger's net total debt to adjusted EBITDA ratio increased to 1.69 from 1.25 a year ago, with a target range of 2.30 to 2.50[16] - Total liabilities increased to $44,340 million in 2025 from $39,166 million in 2024, marking an increase of 13.2%[39] - Net total debt rose to $13,547 million in 2025, up 39.4% from $9,718 million in 2024[48] - Long-term debt, including obligations under finance leases, increased to $17,138 million in 2025 from $12,021 million in 2024, a rise of 42.5%[48] Cash Flow and Assets - Cash and temporary cash investments at the end of the period were $4,738 million, up from $2,863 million in 2024, reflecting a significant increase of 65.5%[41] - The net cash provided by operating activities was $2,149 million in 2025, down from $2,342 million in 2024, a decrease of 8.2%[41] - Total current assets increased to $15,765 million in 2025 from $14,163 million in 2024, representing an increase of 11.3%[39] Store Closures - Kroger plans to close approximately 60 stores over the next 18 months, recognizing a $100 million impairment charge, but expects a modest financial benefit from these closures[13] Shareholder Information - The total common shares outstanding decreased to 661 million at the end of the period in 2025 from 722 million in 2024, a reduction of 8.5%[39] - The average number of common shares used in diluted calculation decreased to 664 million in Q1 2025 from 727 million in Q1 2024[52] Earnings - Net earnings including noncontrolling interests decreased to $868 million in 2025 from $956 million in 2024, a decline of 9.2%[41] - Net earnings attributable to The Kroger Co. for Q1 2025 were $866 million, down from $947 million in Q1 2024, reflecting a decrease of approximately 8.5%[52] - Adjusted net earnings excluding adjustment items for Q1 2025 were $996 million, compared to $1,047 million in Q1 2024, indicating a decline of about 4.9%[52] Margins - Gross margin improved to 23.0% in Q1 2025 from 22.0% in Q1 2024, primarily due to the sale of Kroger Specialty Pharmacy[9] - Gross margin improved to 23.0% in Q1 2025, up from 22.0% in Q1 2024, reflecting a year-over-year increase of 1 percentage point[62]
Kroger Reports First Quarter 2025 Results and Updates Identical Sales without Fuel Guidance for 2025
Prnewswire· 2025-06-20 12:00
First Quarter Highlights Identical Sales without fuel increased 3.2%* Operating Profit of $1,322 million; EPS of $1.29 Adjusted FIFO Operating Profit of $1,518 million and Adjusted EPS of $1.49 eCommerce sales increased 15%CINCINNATI, June 20, 2025 /PRNewswire/ -- The Kroger Co. (NYSE: KR) today reported its first quarter 2025 results, updated 2025 identical sales without fuel guidance and shared our progress on key priorities.Comments from Chairman and CEO Ron Sargent "Kroger delivered solid first quarter ...
How Should Investors Approach Kroger Stock Before Q1 Earnings?
ZACKS· 2025-06-19 14:16
Core Viewpoint - Kroger Co. is expected to report a slight increase in revenue and earnings for the first quarter of fiscal 2025, with revenues projected at $45.38 billion, reflecting a 0.3% year-over-year growth, and earnings per share (EPS) estimated at $1.45, indicating a 1.4% increase from the previous year [1][2][7]. Revenue Estimates - The Zacks Consensus Estimate for first-quarter revenues is $45.38 billion, which is a marginal increase of 0.3% compared to the prior year's figure of $45.27 billion [3][7]. - For the current fiscal year, the revenue estimate is $149.07 billion, with a projected growth of 1.33% year-over-year [3]. Earnings Estimates - The Zacks Consensus Estimate for first-quarter EPS is $1.45, which represents a year-over-year increase of 1.4% from $1.43 [4][7]. - The current year EPS estimate stands at $4.74, with a growth projection of 6.04% for the next year [4]. Key Growth Drivers - Growth in private-label brands, digital sales, and media income are expected to support Kroger's top line [7]. - The company's focus on customer-centric strategies, particularly through its "Our Brands" portfolio, has enhanced customer engagement and loyalty [8]. - Digital sales surpassed $13 billion in fiscal 2024, indicating a strong trend that is likely to continue into the first quarter [9]. - Kroger's alternative profit businesses, including Kroger Precision Marketing, have contributed to a more diversified revenue base [10]. Market Performance - Kroger's stock has increased by 30.3% over the past year, outperforming Dollar General but trailing Walmart and Costco [12]. - The company's stock performance is compared to industry peers, with Kroger trading at a forward P/E ratio of 13.38, which is lower than the industry average of 31.95 [13][15]. Challenges - The retail environment remains challenging due to inflation, high interest rates, and changing consumer behavior, which may limit overall sales momentum [11]. - Kroger's fuel operations are projected to decline, with supermarket fuel sales expected to fall by 5.8% year-over-year [11]. - The termination of the Albertsons merger has resulted in $5.8 billion in new debt, increasing projected interest expenses for 2025 [11].
How Will Kroger Stock React To Its Upcoming Earnings?
Forbes· 2025-06-18 12:03
Group 1 - Kroger is set to announce its fiscal first-quarter earnings on June 20, 2025, with analysts expecting earnings of $1.46 per share and revenue of $45.3 billion, indicating a 12% year-over-year increase in earnings while sales growth remains flat [2] - In FY 2024, Kroger's same-store sales increased by 1.5%, and gross margin improved by 50 basis points to 22.3%, although adjusted EPS fell by 6% [3] - The company has a market capitalization of $44 billion, generated $147 billion in revenue over the last twelve months, and reported $3.8 billion in operating profits and $2.7 billion in net income [4] Group 2 - Historical trends indicate that Kroger's stock has risen 55% of the time after earnings announcements, with a median increase of 5.4% in one day [2][6] - The percentage of positive one-day returns post-earnings increases to 64% when analyzing data from the past three years, with a median of 5.4% for positive returns and -3.0% for negative returns [6][8] - The company plans to mitigate risks from trade tensions and tariffs by diversifying suppliers and optimizing its supply chain, although the recent departure of CEO Rodney McMullen may complicate these efforts [4]
Top Wall Street Forecasters Revamp Kroger Expectations Ahead Of Q1 Earnings
Benzinga· 2025-06-17 10:27
The Kroger Co. KR will release its first-quarter financial results before the opening bell on Friday, June 20.Analysts expect the Cincinnati, Ohio-based company to report quarterly earnings at $1.46 per share, up from $1.43 per share in the year-ago period. Kroger projects quarterly revenue of $45.31 billion, compared to $45.27 billion a year earlier, according to data from Benzinga Pro.On March 6, the company reported fourth-quarter adjusted earnings per share of $1.14, beating the street view of $1.11. Qu ...
Newsweek Names Kroger One of America's Most Trustworthy Companies
Prnewswire· 2025-06-16 18:30
Core Insights - The Kroger Co. has been recognized by Newsweek as one of "America's Most Trustworthy Companies" for 2025, highlighting its commitment to trust among associates, customers, and investors [1][2]. Group 1: Trust and Recognition - The recognition is based on three main pillars of trust: associate trust, customer trust, and investor trust [2]. - Kroger's efforts include providing fresh, affordable food, a respectful workplace for employees, and community support through its Zero Hunger | Zero Waste initiative, which has directed over 3.9 billion meals to families in need since its launch in 2017 [3]. Group 2: Workplace Excellence - Kroger has received multiple accolades for its workplace environment, including being named a top place to work by the American Association of People with Disabilities and recognized for excellence in early career hiring by Handshake [4]. - The company has also been acknowledged for its commitment to diversity and ranked among the top workplaces in IT by Computerworld [4]. Group 3: Company Overview - Kroger operates with over 400,000 associates and serves more than 11 million customers daily through various retail food stores and eCommerce platforms [6]. - The company's purpose is to "Feed the Human Spirit" and create communities with a focus on zero hunger and zero waste [6].
Exploring Analyst Estimates for Kroger (KR) Q1 Earnings, Beyond Revenue and EPS
ZACKS· 2025-06-16 14:16
In its upcoming report, Kroger (KR) is predicted by Wall Street analysts to post quarterly earnings of $1.44 per share, reflecting an increase of 0.7% compared to the same period last year. Revenues are forecasted to be $45.38 billion, representing a year-over-year increase of 0.3%.Over the past 30 days, the consensus EPS estimate for the quarter has remained unchanged. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.Prior to a company's earni ...
Kroger (KR) Registers a Bigger Fall Than the Market: Important Facts to Note
ZACKS· 2025-06-11 23:01
Company Performance - Kroger's stock closed at $64.62, reflecting a -1.24% change compared to the previous day, which is less than the S&P 500's daily loss of 0.27% [1] - Year-to-date, Kroger shares have decreased by 3.05%, underperforming the Retail-Wholesale sector's gain of 4.25% and the S&P 500's gain of 6.9% [1] Upcoming Earnings Report - Kroger is set to release its earnings report on June 20, 2025, with projected earnings per share (EPS) of $1.44, indicating a 0.7% increase from the same quarter last year [2] - The consensus estimate for revenue is $45.38 billion, reflecting a 0.25% increase compared to the same quarter of the previous year [2] Fiscal Year Estimates - For the entire fiscal year, Zacks Consensus Estimates predict earnings of $4.74 per share and revenue of $149.08 billion, representing changes of +6.04% and +1.33% respectively from the previous year [3] - Recent analyst estimate revisions for Kroger suggest a positive outlook for the business [3] Zacks Rank and Valuation - Kroger currently holds a Zacks Rank of 3 (Hold), with an unchanged EPS estimate over the last 30 days [5] - The Forward P/E ratio for Kroger is 13.8, which is a discount compared to the industry average Forward P/E of 14.99 [5] PEG Ratio and Industry Ranking - Kroger has a PEG ratio of 1.96, compared to the industry average PEG ratio of 1.77 [6] - The Retail - Supermarkets industry, part of the Retail-Wholesale sector, has a Zacks Industry Rank of 77, placing it in the top 32% of all industries [6][7]
Make Father's Day Extra Special with Kroger
Prnewswire· 2025-06-05 17:50
Core Insights - Kroger is promoting various ways for customers to celebrate Father's Day, emphasizing acts of kindness and thoughtful gifts for dads [2][3] Group 1: Father's Day Promotions - Kroger encourages customers to surprise dads with special treats and experiences leading up to Father's Day, highlighting the importance of appreciation beyond just one day [2] - The company offers a range of ideas including grilling meals, gifting donuts, and providing gourmet hot sauce and beverages [6] - Customers can find inspiration for Father's Day gifts and recipes on Kroger's blog, The Fresh Lane, which features various grilling recipes and party essentials [3][6] Group 2: Pricing and Offers - Kroger is implementing lower prices on over 1,000 items in-store, alongside everyday low prices and more than $600 in digital coupons available weekly [3] - The company promotes its Fresh & Quality Guarantees, ensuring customers do not have to compromise on quality for lower prices [3] Group 3: Company Overview - Kroger operates with a mission to "Feed the Human Spirit," serving over 11 million customers daily through various retail food stores and e-commerce [4] - The company employs more than 400,000 associates and is committed to creating communities with ZeroHungerZeroWaste [4]