Kroger beats Q2 earnings estimates as cost savings, pharmacy, fuel and e-commerce gains offset soft sales, while fiscal 2026 sales guidance is cut.
KR cuts its fiscal 2026 identical-sales outlook as consumer pressure weighs, but holds profit targets on savings, e-commerce and media growth.
Its key fundamentals landed near analyst consensus estimates. Although it reduced same-store sales guidance, it maintained its bottom-line forecast.
The Kroger Co. delivered a mixed Q2, with weak ID sales but solid EPS and margin improvement, justifying its current low valuation. KR's operational execution shines through cost controls, e-commerce, and retail media growth, driving a 12.5% operating income increase despite top-line headwinds. Guidance for FY EPS of $5.10–$5.30 and ID sales growth of 0.2%–0.8% reflects ongoing headwinds, but margin expansion and buybacks support 7% EPS growth.
Kroger TodayKRKroger$58.55 +1.60 (+2.81%) As of 01:16 PM Eastern This is a fair market value price provided by Massive. Learn more.52-Week Range$54.15▼$76.58Dividend Yield2.66%P/E Ratio34.45Price Target$71.31Add to WatchlistThe Kroger Co. NYSE: KR stock presents a classic entry for buy-and-hold investors: it trades at a depressed multiple despite growth, yields at the high end of its historic range, and has all the hallmarks of an inflation-resistant stock.
The Kroger Co. (KR) Q2 2026 Earnings Call Transcript
A challenging macro environment and other issues affecting the grocery industry led Kroger to lower its 2026 full-year guidance for identical sales without fuel, executives said Friday (Sept. 11) during a second quarter earnings call.
Kroger NYSE: KR reported modest second-quarter identical sales growth while maintaining its full-year profit outlook, as pharmacy-related pressures, a Cyclospora outbreak and cautious consumer spending weighed on the top line.
Kroger Co (NYSE:KR, XETRA:KOG) raised its full-year profit outlook after posting second-quarter earnings that beat Wall Street estimates, even as the grocer trimmed its sales growth forecast. The company reported adjusted earnings per share of $1.09 for the quarter, ahead of analyst estimates of $1.06 and up 5% from a year earlier.
Kroger (KR) came out with quarterly earnings of $1.09 per share, beating the Zacks Consensus Estimate of $1.05 per share. This compares to earnings of $1.04 per share a year ago.
The grocery-store chain said it now expects annual same-store sales to increase by 0.2% to 0.8%, compared with its previous projection of 1% to 2% growth.
Kroger heads into Q2 earnings with grocery and digital momentum, but cautious spending, pharmacy headwinds and rising costs cloud the outlook.