Kroger Company ( (KR) ) has released its Q4 earnings. Here is a breakdown of the information Kroger Company presented to its investors.
Kroger Company, a leading American retail company, operates a vast network of supermarkets and multi-department stores, offering a wide range of grocery products and services. The company is known for its commitment to providing quality food at competitive prices, and it also emphasizes digital sales and alternative profit businesses.
Kroger’s latest earnings report for the fourth quarter and full fiscal year 2024 reveals a steady growth trajectory, with notable increases in identical sales and digital sales. The company reported an operating profit of $912 million for the fourth quarter and $3.8 billion for the full year, alongside significant digital sales growth and a robust performance from its alternative profit businesses.
Key financial highlights include a 2.4% increase in identical sales without fuel for the fourth quarter and a 1.5% increase for the full year. The adjusted FIFO operating profit stood at $1,174 million for the quarter and $4.7 billion for the year. Additionally, Kroger’s digital sales exceeded $13 billion, and the company initiated a $5 billion accelerated share repurchase program. The company also reported a gross margin improvement, primarily due to the sale of Kroger Specialty Pharmacy and cost-saving initiatives.
Looking forward, Kroger’s management remains optimistic about 2025, projecting identical sales growth between 2.0% and 3.0% and adjusted net earnings per diluted share ranging from $4.60 to $4.80. The company plans to continue investing in its business and enhancing shareholder value through dividends and share repurchases, supported by a strong balance sheet.