Kroger raises lower end of annual sales forecast

Kroger has lifted its full-year sales guidance, even though second-quarter profit and overall sales came in beneath consensus forecasts. Revenues rose 0.2% to $33.91bn, helping it to $466m in earnings. Analysts polled by FactSet had expected sales of $34.09bn and a $538.7m profit. Like-for-likes grew 1.2%, while digital sales rose 17%. The company now expects fiscal 2024 identical sales, excluding fuel, to grow between 0.75% and 1.75%, compared with its prior forecast of 0.25% to 1.75% growth. The results were published toward the end of a week in which executives have appeared in court defending a proposed $24.6bn merger with Albertsons. “As we near the close of the FTC’s preliminary injunction hearing, we are confident in the facts and the strength of our position. The food industry has always been competitive and will continue to be after this merger”, Kroger chief executive Rodney McMullen told analysts on a conference call.