Grocery Giant Kroger CFO Raises Identical Sales Outlook, But Maintains Caution Due To Tariff Uncertainty

Kroger Co. (NYSE:KR) shares rose on Friday after the grocer topped Q1 earnings estimates, boosted margins, and reaffirmed its full-year outlook.

The company reported first-quarter adjusted earnings per share of $1.49, beating the analyst consensus estimate of $1.46. Quarterly sales of $45.12 billion missed the Street view of $45.19 billion, with identical sales ex-fuel increasing 3.2%.

The strong earnings came even as Kroger faced a viral backlash on TikTok, where a video showing minimally decorated Juneteenth cakes at an Atlanta store drew criticism for what many called a tone-deaf tribute to a holiday celebrating Black liberation, USA Today reports.

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Meanwhile, operating profit in the quarter under review increased to $1.322 billion from $1.294 billion a year ago.

Gross margin in the quarter under review increased to 23% from 22% a year ago. The improvement in gross margin was primarily attributable to the sale of Kroger Specialty ...