The Kroger Co. (KR) Earnings Call Transcripts

The Kroger Co.'s Latest Earnings Call - Q2 FY2027

In the second quarter of fiscal 2026, The Kroger Co. reported adjusted earnings per diluted share of $1.09, reflecting a 5% growth year-over-year, despite a challenging sales environment. Total revenue was impacted by a Cyclospora outbreak and lower drug prices, resulting in identical sales growth without fuel of just 0.2%. Management lowered its full-year identical sales guidance to a range of 0.2% to 0.8%, down from 1% to 2%, while maintaining its adjusted operating profit guidance of $5 billion to $5.2 billion.

Reported metrics

Guidance from management

Kroger maintained its full year adjusted FIFO operating profit guidance of $5 billion to $5.2 billion, despite lowering sales expectations. Management expects cost-saving initiatives to build through the second half of the year.

What management said

Yes. Michel, I just think -- one thing to add. We were pleased with the FIFO gross margin performance this quarter. I think that demonstrates for us the ability to invest in value, offset it with savings and that's going to be the model going forward. We're confident in the FIFO gross outlook through the balance of the year. And as we update you guys in October, that's going to be the model. generate savings, invest ...

Thanks, Greg. A couple of things. So Robby, our outlook broadly remains the same. So our range is within this 1 to 2.5 range for the balance of the year. As Greg said, I do think we will see a bit more pressure in the second half than we've seen in the first half. But I expect us to be below CPI. Our focus, as we said, is about working with suppliers take cost out, use that money to reinvest into value and protect ma...

What analysts pressed on

Analysts expressed concerns about the impact of inflation and the Cyclospora outbreak on sales. There were questions regarding how Kroger plans to manage pricing strategies while maintaining customer value amid rising costs.

Main topics on the call

• Sales Guidance Reduction — Kroger lowered its full-year identical sales without fuel guidance to 0.2% to 0.8%, down from 1% to 2%. CFO David Kennerley noted, "The update reflects our first half results, together with pressures that remain in the b...
• E-commerce Growth — E-commerce sales grew by 20% in the quarter, marking the second consecutive quarter of profitable growth. CEO Greg Foran stated, "E-commerce is where most of the growth in our industry will come from over the next severa...
• Impact of Cyclospora Outbreak — The Cyclospora outbreak negatively affected sales, costing Kroger approximately 35 basis points in identical sales without fuel. Foran mentioned, "Customers responded more broadly across our produce department," indicati...
• Cost Management and Profitability — Kroger successfully managed costs, achieving gross margin improvement despite top-line challenges. Kennerley noted, "We improved value for customers out of savings and we managed margins responsibly," highlighting the co...

Read the full The Kroger Co. transcript (Q2 FY2027) → Summary generated from the call transcript; every figure above is stated by management on the record.

Earnings Call History

EarningsCalls.dev has 38 The Kroger Co. earnings call transcripts on record, spanning March 5, 2020 to September 11, 2026. Based on this history, The Kroger Co. reports quarterly. The most recent call on file is dated September 11, 2026. The full list is below — each row opens the complete, free-to-read transcript.

Ticker

KR

Exchange

NYSE

Country

US

Sector

Consumer Staples

Industry

Consumer Staples Distribution and Retail

Calls on record

38

First call

March 5, 2020

Most recent

September 11, 2026

Reporting cadence

quarterly