Albertsons Cos. beat Wall Street estimates in its second quarter as the supermarket retailer continues to redefine operations after its failed merger with The Kroger Co.
Net income was $168.5 million, or 30 cents per share, versus $145.5 million, or 25 cents per share, in the 2024 second quarter.
Adjusted net income was $248.4 million, or 44 cents per share, versus $301 million, or 51 cents per share, in the year-prior period, the company noted.
A Zacks Investment Research analyst consensus estimate called for earnings per adjusted sales of 39 cents and revenues of $18.9 billion.
Net revenue was $18.92 billion, up from $18.55 billion in the year-prior quarter, with identical sales up 2.2%. Digital sales increased 23% in the quarter, Albertsons reported. Operating income was $295.3 million versus $292 million in the year-previous period.
Albertson updated its fiscal 2025 outlook, which now calls for identical sales growth in the range of 2.2% to 2.75%, up from 2% to 2.75% previously, and adjusted net income per share in the range of $2.06 to $2.19 per share, up from $2.03 to $2.16.
“In the second quarter, we delivered solid operating and financial results while continuing to invest in our core business and elevate the customer experience,” Susan Morris, Albertsons CEO stated. “Strong performance against our strategic priorities fueled deeper engagement across our digital platforms, resulting in outsized growth in digital sales, pharmacy and loyalty membership. Our productivity engine continued to offset inflationary pressures and fund investments in areas that matter most to our customers, including fresh categories and omnichannel convenience.”
In looking at the remainder of 2025 and beyond, Morris said: “It is a new day at Albertsons. We’re operating from a position of strength, taking bold action and leading transformative change with confidence. We’re investing with purpose, modernizing capabilities through scalable technology and advancing ongoing productivity initiatives to fuel long-term growth. The $750 million accelerated share repurchase we announced underscores our conviction in the value of our business and our commitment to delivering shareholder returns.”
