Kroger Company (the) · NYSE:KR
Kroger Company (the) — The Kroger — Q4 2025 Earnings Presentation
18 slides from Kroger Company (the)'s earnings presentation, Mar 5, 2026
Slide 1: Kroger Q4 2025 Earnings Release
Kroger Q4 2025 Earnings Release March 5, 2026 1
Slide 2: Safe Harbor
Safe Harbor This presentation includes certain statements that constitute “forward-looking statements” about Kroger’s financial position and expected performance. These statements are based on management’s assumptions and beliefs in light of currently available information. Such statements are indic
Slide 3: Q4 2025 Results
Q4 2025 Results +2.4% $1,246M $1.35 ID Sales(1) GAAP Operating Profit GAAP EPS +20% $1,206M $1.28 Adj. EPS Adjusted eCommerce Sales(2) Adj. FIFO Operating Profit +12% growth (1) Without fuel and adjustment items, if applicable, and includes an unfavorable 38 basis point impact from the Inflation Red
Slide 4: Full-Year 2025 Results
Full-Year 2025 Results +2.9% $1.9B $1.54 ID Sales(1) GAAP Operating Profit(2) GAAP EPS(2) +17% $4.9B $4.85 Adj. EPS Adjusted eCommerce Sales(3) Adj. FIFO Operating Profit +9% growth (1) Without fuel and adjustment items, if applicable, and includes an unfavorable 9 basis point impact from the Inflat
Slide 5: Strengthening our Value Creation Model
Strengthening our Value Creation Model Delivering Sustainable Total Shareholder Return of 8 – 11%* Supermarket Health and Wellness Delivered $16 billion in eCommerce Strong sales growth compared to last sales and significantly improved year driven by core pharmacy scripts Strong, Durable Retail prof
Slide 6: 2026 Full-Year Guidance
2026 Full-Year Guidance* Adjusted Metric* FY26 Guidance Identical Sales without fuel** (%) 1.0% – 2.0% FIFO Operating Profit ($B) $5.0 – $5.2 EPS ($) $5.10 – $5.30 Free Cash Flow ($B) $2.7 – $2.9 Cap Ex ($B) $3.8 – $4.0 Tax Rate*** 23% * Without adjusted items, if applicable. Kroger is unable to pro
Slide 7: Investment Thesis
Investment Thesis Strong Business with Proven Value Strong Balance Exciting Growth Creation Model Sheet & Resilient Opportunities Free Cash Flow • Conveniently located ~2,700 stores • Net Earnings Growth, 3-5% • Strong Free Cash Flow Yield • ID Sales Growth (ex. Fuel), 2-4% • First Party Data on 63M
Slide 8: Appendix
Appendix
Slide 9: Consolidated Statements of Operations
Table 1. THE KROGER CO. CONSOLIDATED STATEMENTS OF OPERATIONS (in millions, except per share amounts) (unaudited) FOURTH QUARTER YEAR-TO-DATE 2025 2024 2025 2024 SALES $ 34,725 100.0% $ 34,308 100.0% $ 147,642 100.0% $ 147,123 100.0% OPERATING EXPENSES MERCHANDISE COSTS, INCLUDING ADVERTISING, WAREH
Slide 10: Consolidated Balance Sheets
Table 2. THE KROGER CO. CONSOLIDATED BALANCE SHEETS (in millions) (unaudited) January 31, February 1, 2026 2025 ASSETS Current Assets Cash $ 228 $ 216 Temporary cash investments 3,106 3,743 Store deposits in-transit 1,244 1,312 Receivables 2,192 2,195 Inventories 6,892 7,038 Prepaid and other curren
Slide 11: Consolidated Statements of Cash Flows
Table 3. THE KROGER CO. CONSOLIDATED STATEMENTS OF CASH FLOWS (in millions) (unaudited) YEAR-TO-DATE 2025 2024 CASH FLOWS FROM OPERATING ACTIVITIES: Net earnings including noncontrolling interests $ 1,024 $ 2,672 Adjustments to reconcile net earnings including noncontrolling interests to net cash pr
Slide 12: Supplemental Sales Information
Table 4. Supplemental Sales Information (in millions, except percentages) (unaudited) Items identified below should not be considered as alternatives to sales or any other GAAP measure of performance. Identical sales is an industry-specific measure, and it is important to review it in conjunction wi
Slide 13: Reconciliation of Net Total Debt and Net Earnings to Adjusted EBITDA
Table 5. Reconciliation of Net Total Debt and Net Earnings Attributable to The Kroger Co. to Adjusted EBITDA (in millions, except for ratio) (unaudited) The items identified below should not be considered an alternative to any GAAP measure of performance or access to liquidity. Net total debt to adj
Slide 14: Net Earnings Per Diluted Share Excluding the Adjustment Items
Table 6. Net Earnings Per Diluted Share Excluding the Adjustment Items (in millions, except per share amounts) (unaudited) The purpose of this table is to better illustrate comparable operating results from our ongoing business, after removing the effects on net earnings per diluted common share for
Slide 15: Net Earnings Per Diluted Share Excluding the Adjustment Items (continued)
Table 6. Net Earnings Per Diluted Share Excluding the Adjustment Items (continued) (in millions, except per share amounts) (unaudited) (a) The amounts presented represent the after-tax effect of each adjustment. (b) The pre-tax adjustments for (gain) loss on investments were $(23) and $22 in the fou
Slide 16: Operating Profit Excluding the Adjustment Items
Table 7. Operating Profit Excluding the Adjustment Items (in millions) (unaudited) The purpose of this table is to better illustrate comparable operating results from our ongoing business, after removing the effects on operating profit for certain items described below. Adjusted FIFO operating profi
Slide 17: Adjusted Free Cash Flow
Table 8. Adjusted Free Cash Flow (in millions) (unaudited) Adjusted free cash flow is an important performance measure used by management, and management believes it is also a useful metric for investors and analysts to evaluate the Company's ability to generate additional funding from business oper
Slide 18: Gross Margin
Table 9. Gross Margin (in millions, except percentages) (unaudited) In the Consolidated Statements of Operations within Table 1, the Company separately presents rent and depreciation and amortization to evaluate operational effectiveness. The table below calculates gross margin in accordance with Ge