10-Q · June 26, 2026
Kroger's Q1 2026 results showed significant revenue growth of 2.2% quarter-over-quarter, reaching $46.12 billion, although diluted EPS was slightly lower than consensus estimates at $1.46. Management highlighted strong…
Earnings analysis · 10-Q
KR earnings analysis
Filed September 18, 2026 · Our reading of the company's report
The latest report
The quarter was mixed: $34.621 billion of revenue beat consensus by 0.9%, but GAAP diluted EPS of $1.05 and adjusted EPS of $1.09 were below expectations. Management reaffirmed FY2026 adjusted EPS guidance of…
Read full summary
The quarter was mixed: $34.621 billion of revenue beat consensus by 0.9%, but GAAP diluted EPS of $1.05 and adjusted EPS of $1.09 were below expectations. Management reaffirmed FY2026 adjusted EPS guidance of $5.10-$5.30 but reduced identical-sales guidance to 0.2%-0.8% from 1.0%-2.0%, including an approximately 140-basis-point regulatory headwind. The supplied 10-Q extract does not include enough income-statement, balance-sheet, cash-flow or segment detail to quantify margin, working-capital or free-cash-flow trends.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $1.05
What stood out
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Revenue exceeded consensus
Quarterly sales were $34.621 billion, exceeding the $34.314 billion consensus estimate by approximately $307 million, or 0.9%.
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Earnings missed consensus
GAAP diluted EPS was $1.05, while adjusted EPS was $1.09 versus the $1.12 consensus estimate; adjusted EPS therefore missed by $0.03, or 2.7%.
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Meaningful share repurchases
Kroger repurchased 18,006,624 shares under publicly announced programs during the quarter at an average price of $59.32 per share.
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Substantial buyback authorization
The company had approximately $1.089 billion remaining under its repurchase programs at the end of the second four-week period; the filing also reports $5,053,494 program shares repurchased in the third four-week period.
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Controls remained effective
Disclosure controls and procedures were concluded to be effective as of August 15, 2026, and the filing states there were no material changes in internal control over financial reporting during the quarter.
What to watch
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Lower sales outlook
Identical sales guidance excluding fuel was reduced to 0.2%-0.8% from 1.0%-2.0%, a 0.8- to 1.8-percentage-point reduction in the range, with management identifying an approximately 140-basis-point Inflation Reduction Act headwind.
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Technology transformation execution
The filing states that Kroger is implementing a broad, multi-year technology transformation covering mainframe, middleware and legacy systems across customer service, merchandising, sourcing, payroll and accounting; no material additional modules were implemented during the quarter ended August 15, 2026, but execution and control risks remain as future phases deploy.
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Cash allocation from buybacks
Kroger reported 18,508,461 total shares purchased at an average price of $59.32 during the quarter, including 501,837 shares surrendered for tax withholding; continued buybacks represent approximately $1.089 billion of remaining authorization but consume cash that could otherwise support liquidity or investment.
Management's outlook
FY2026 adjusted EPS guidance of $5.10-$5.30 was reaffirmed, while identical sales guidance excluding fuel was lowered to 0.2%-0.8% from 1.0%-2.0%; management cited an approximately 140-basis-point Inflation Reduction Act headwind. The 10-Q itself does not provide additional numeric guidance beyond the previously disclosed outlook.
Earlier filings 4
10-K · March 31, 2026
Kroger Co. reported a 0.4% increase in total sales to $147.64 billion in fiscal 2025, driven by eCommerce and pharmacy sectors, despite ongoing challenges and an impairment of $2.5 billion tied to its fulfillment…
10-Q · December 12, 2025
Kroger's Q3 2025 results reflect continued operational challenges, with total revenue slightly down by 0.7% compared to Q2 and substantial losses attributed to a $2.6 billion impairment charge. While adjusted EPS…
10-Q · September 19, 2025
Kroger reported a mixed performance for Q2 2025, with total revenue of $33.94 billion, a slight increase of 0.1% year-over-year, but lower than expectations. Gross margin improved to 22.5%, up from 22.1% a year prior,…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.