Kroger(NYSE) KR

Kroger helps families buy food and medicine at nearby stores. It operates grocery shops and gas stations across most U.S. states. The company also produces its own food items for shoppers.

From Groceries to Gas

• Combination Stores: Primary supermarket format featuring pharmacies, organic sections, and private label products known as Our Brands.
• Multi-Department Stores: Large retail locations that sell clothing, home furnishings, electronics, automotive products, and toys.
• Marketplace Stores: Stores that combine full grocery services and pharmacies with general merchandise like apparel and household goods.
• Fuel Centers: Retail locations that sell gasoline; the company operated 1,613 of these centers as of early 2022.
• Price Impact Warehouses: Stores focused on providing groceries and household essentials at competitive prices.

Shifting the Digital Strategy

• Sold Vitacost.com during the first quarter of 2026 to focus on core retail operations.
• Closed fulfillment centers in markets where the company does not operate physical stores in late 2025.
• Discontinued the Ship Marketplace service during the first quarter of 2026.
• Opened, expanded, or acquired 26 supermarkets during the four-quarter period ending May 23, 2026.
• Managed legal proceedings regarding the terminated merger with Albertsons Companies, Inc. during the first quarter of 2026.

What Makes Kroger Different?

Kroger operates its own food manufacturing and processing plants to supply its supermarkets and online platforms. The company also generates revenue through third-party media and data analytic services for other businesses.

Performance by the Numbers

• Total sales reached $46.1 billion in the first quarter of 2026, up 2.2% year-over-year.
• Supermarket fuel sales increased 21.3% to $5.3 billion in the first quarter of 2026.
• Operating profit was $1.4 billion in the first quarter of 2026, up 6.4% year-over-year.
• Kroger invested $213 million to repurchase 3.1 million common shares in the first quarter of 2026.
• Identical sales, which tracks stores open at least five quarters, grew 1% in the first quarter of 2026.

Bottom Line

Kroger has evolved from a traditional grocery chain into a multi-format retailer with significant digital and manufacturing operations. Its focus on private-label brands and cost-saving initiatives supports its ability to navigate volatile fuel prices and changing consumer trends.