CINCINNATI, Jan. 10, 2025 /PRNewswire/ -- The Kroger Family of Companies (NYSE:KR), including southern California's Ralphs and Food4Less stores, today announced a commitment to raise $1 million for families impacted by the devastating wildfires impacting the Los Angeles region."We strive to fulfill our purpose, to Feed the Human Spirit, every day, and especially when disaster strikes," said Rodney McMullen, Chairman and CEO of Kroger. "Our associates are always among the first to support our communities dur ...

Core Insights - Albertsons reported better-than-expected third-quarter earnings with a net income of $400.6 million, surpassing both last year's $361.4 million and analysts' expectations of $318.1 million [2] - Revenue for the quarter was $18.77 billion, slightly below the analyst consensus of $18.8 billion but up from $18.56 billion a year ago [2] - The company slightly raised its fiscal 2024 adjusted EPS outlook to a range of $2.25 to $2.31, while lowering the top end of its same-store sales growth projection to 1.8% to 2% [2] Financial Performance - Net income increased to $400.6 million from $361.4 million year-over-year [2] - Revenue was reported at $18.77 billion, compared to $18.56 billion the previous year [2] - Analysts had expected a revenue of $18.8 billion, indicating a slight miss [2] Merger and Legal Developments - This quarterly report is the first since the proposed merger with Kroger was called off due to legal rulings against the deal [3] - Albertsons has filed a lawsuit against Kroger, alleging that Kroger did not take sufficient actions to secure merger approval [4] - Both companies have resumed their stock buyback programs after pausing them during the merger approval process [4]

Core Insights - Simple Truth® introduces six limited-time Resolution Rescue bundles to assist customers in maintaining their New Year's resolutions, particularly around Quitter's Day on January 10 [1][2][3] Customer Engagement - According to Kroger's data, 79% of customers set New Year's resolutions focused on physical health, with 58% aiming to adopt healthier eating habits [2] - The Resolution Rescue bundles are priced at $15 or less, making them accessible for customers looking to sustain their resolutions [3] Product Offerings - The bundles include: - Mocktails Bundle for alcohol-free beverages [4] - Meatless Meal Bundle featuring a dense bean salad for fiber and protein [5] - Protein-Packed Breakfast Bundle to kickstart the day [5] - Savory Snacks Bundle for mid-afternoon cravings [5] - Sweet Treats Bundle for guilt-free desserts [6] - Get Your Veggies Bundle for easy vegetable options [6] Promotional Strategy - From January 10 to January 21, customers can receive free delivery on Simple Truth® purchases of at least $15, applicable to delivery orders of $75 or more [6][8] Brand Positioning - Simple Truth® offers over 1,500 products that are free from artificial ingredients, catering to various dietary needs including plant-based and gluten-free options [7]

The Kroger Co. (KR) has made a significant move in returning value to its shareholders by entering into Accelerated Share Repurchase (“ASR”) agreements worth $5 billion. The agreements are part of Kroger's broader $7.5 billion share repurchase authorization. This step underscores Kroger's commitment to maximizing shareholder returns while leveraging its strong financial position.Digging the Details of KR’s Share Repurchase AgreementThe ASR transactions will be funded using Kroger's existing cash on hand. Th ...

CINCINNATI, Ohio, Dec. 19, 2024 /PRNewswire/ -- The Kroger Co. (NYSE: KR) today announced that it entered into Accelerated Share Repurchase ("ASR") agreements with each of Wells Fargo Bank, National Association and Citibank, N.A. (the "Dealers") to repurchase, in aggregate, $5.0 billion in shares of Kroger common stock. The ASR agreements will be completed under Kroger's recently announced $7.5 billion share repurchase authorization. Kroger is funding the share repurchases under the ASR agreements with exis ...

CINCINNATI, Dec. 17, 2024 /PRNewswire/ -- The Kroger Co. (NYSE:KR), America's Grocer, today announced its Forbes recognition as one of America's Best Employers for Tech Workers and for providing exceptional customer service through its Kroger Family of Pharmacies. "We are honored to be recognized by Forbes as one of the Best Employers for Tech Workers and for our unparalleled customer service specifically in pharmacy. This recognition is a testament to our remarkable associates and their commitment to servi ...

Financial Performance - Kroger reported solid third quarter results driven by strong pharmacy and digital performance, reflecting the effectiveness of its value creation model[110]. - Sales for the third quarter ended November 9, 2024, were $33,634 million, a decrease of 1.0% compared to $33,957 million for the same period in 2023[1]. - Identical sales excluding fuel increased by 2.3% in the third quarter and 1.2% in the first three quarters of 2024 compared to the same periods in 2023[123]. - Operating profit for the third quarter was $828 million, representing a 9.2% decrease from $912 million in the third quarter of 2023[118]. - Adjusted net earnings attributable to The Kroger Co. per diluted common share were $0.98 for the third quarter, a 3% increase compared to $0.95 in the same quarter of 2023[117]. - Digital sales increased by 11% in the third quarter and 10% in the first three quarters of 2024 compared to the same periods in 2023[123]. - Net earnings attributable to The Kroger Co. for the third quarter of 2024 were $618 million, a decrease of 4.3% compared to $646 million in the third quarter of 2023[140]. - Total sales to retail customers without fuel for the third quarter of 2024 were $30,023 million, reflecting a 1.5% increase from $29,580 million in the third quarter of 2023[145]. - The company achieved adjusted FIFO operating profit of $1,017 million for the third quarter, a 0.5% decrease compared to $1,022 million in the same quarter of 2023[119]. - The gross margin rate for the third quarter of 2024 was 22.85%, up from 22.03% in the third quarter of 2023, primarily due to the sale of the Kroger Specialty Pharmacy business and strong performance in Our Brands[156]. Shareholder Returns and Capital Management - Kroger aims to achieve total shareholder return within the target range of 8% to 11% over time[108]. - The company has authorized a new share repurchase program totaling $7.5 billion, with $5.0 billion expected to be repurchased through an accelerated share repurchase program[107]. - The company paused its share repurchase program in Q3 2022 to prioritize deleveraging following the proposed merger with Albertsons[107]. - During Q3 2024, the company repurchased approximately 146,000 shares for $9 million at an average price of $55.98 per share; total repurchases for the first three quarters amounted to $125 million for 2.3 million shares[198]. - The company announced a new share repurchase program of $7.5 billion on December 11, 2024, with $5.0 billion expected to be repurchased via an accelerated share repurchase program[200]. Debt and Liquidity - Kroger is committed to maintaining its investment grade debt rating and a net total debt to adjusted EBITDA ratio target range of 2.30 to 2.50[107]. - Total debt increased by $10,375 million primarily due to issuing $10,500 million of senior notes for the proposed merger with Albertsons[114]. - Total debt increased to $22.6 billion as of November 9, 2024, up $10.4 billion from $12.2 billion at the end of fiscal year 2023, primarily due to the issuance of $10.5 billion in senior notes[196]. - As of November 9, 2024, the company held cash and temporary cash investments of $13.4 billion, reflecting net proceeds from a $10.5 billion senior notes issuance in Q3 2024[201]. - The company expects to meet its short-term and long-term liquidity needs through cash flows from operating activities and other liquidity sources, including borrowings under its commercial paper program and bank credit facility[202]. - The company operates with a working capital deficit due to efficient cash use in funding operations and consistent access to capital markets[202]. Operational Focus and Strategy - Kroger's retail business is focused on enhancing customer experience through its four pillars: Fresh, Our Brands, Personalization, and Seamless[104]. - The company plans to maximize growth opportunities in its retail business while investing in associates and providing greater value for customers[106]. - Kroger's value creation model is designed to generate strong free cash flow and support long-term sustainable net earnings growth[107]. - The company is focused on retention by investing in associates through enhanced wages, benefits, and training opportunities[111]. Market and Sales Trends - Supermarket fuel sales decreased by 18.8% in the third quarter of 2024, totaling $3,335 million compared to $4,105 million in the same period last year[145]. - The average retail fuel price decreased by 14.9% in the third quarter of 2024, contributing to the decline in supermarket fuel sales[148]. - Total sales decreased by 1.0% in the third quarter of 2024, amounting to $33,634 million, down from $33,957 million in the third quarter of 2023[145]. - Total sales, excluding fuel and Kroger Specialty Pharmacy, increased by 2.7% in the third quarter of 2024 compared to the third quarter of 2023[148]. - Identical sales for the third quarter of 2024 were $29,470 million, a 2.3% increase compared to $28,818 million in the third quarter of 2023, which saw a decrease of (0.6)%[152]. - For the first three quarters of 2024, identical sales reached $97,595 million, reflecting a 1.2% increase from $96,397 million in the same period of 2023, which had a 1.5% increase[153]. Tax and Expenses - The effective income tax rate for the third quarter of 2024 was 23.3%, down from 23.9% in the third quarter of 2023, while the rate for the first three quarters of 2024 was 21.8%, compared to 24.8% in the same period of 2023[178]. - Operating, General and Administrative (OG&A) expenses as a percentage of sales were 17.54% in the third quarter of 2024, up from 16.63% in the third quarter of 2023[162]. - The LIFO charge was $4 million in the third quarter of 2024, significantly lower than $29 million in the same quarter of 2023, and $66 million for the first three quarters of 2024, down from $131 million in the same period of 2023[158]. Other Notable Events - The proposed merger with Albertsons was terminated on December 11, 2024, leading to the automatic termination of related loan commitments[203]. - There has been no material change to the company's critical accounting estimates since the filing of its Annual Report on Form 10-K for the fiscal year ended February 3, 2024[207]. - As of November 9, 2024, the company had no forward-starting interest rate swap agreements or treasury lock agreements outstanding[209].

CINCINNATI, Dec. 13, 2024 /PRNewswire/ -- The Kroger Co. (NYSE: KR), America's grocer, today shared all the ways customers can save as they prepare for the holiday season, offering more than $1,200 in savings on everyday items and yuletide essentials across the store. Visit Kroger.com or the Kroger app where ahead of the holidays, Kroger is offering more than $1,200 per week in digital coupons. "This holiday season, we want customers to create lasting memories and share their tables with an open heart," ...

At least for now, the deal between Kroger (NYSE: KR ) and Albertsons (NYSE: ACI ) is off. Albertsons is poised to sue for their deal termination fee which, if obtained, would most likely kill any chance for a futureI'm a full time value investor and writer who enjoys using classical value ratios to pick my portfolio. Long-term focused on low P/B, P/FCF, Owner Earnings discounting, PEG ratios, the Graham Number and an occasional net-net hunter. I also believe tracking earnings growth versus price appreciatio ...

Core Viewpoint - The Federal Trade Commission (FTC) has filed a lawsuit against Southern Glazer's Wine and Spirits for illegal price discrimination, favoring large chain buyers over smaller businesses, which undermines fair competition in the market [3]. Group 1: Company Overview - Southern Glazer's Wine and Spirits is the tenth largest privately held company in the U.S., generating approximately $26 billion in revenues from retail sales in 2023 [2]. - The company distributes around 5,600 wine and spirit brands, including major suppliers like Pernod Ricard, Bacardi U.S.A., Diageo, and Beam Suntory [4]. Group 2: Legal Allegations - The FTC's complaint alleges that Southern Glazer's has engaged in price discrimination since at least 2018, providing better prices to large chains such as Costco and Kroger compared to smaller neighborhood stores [2][3]. - The lawsuit aims to address the harm caused to smaller businesses, which are deprived of discounts and rebates, thus affecting their competitiveness against larger national and regional chains [2][3].