Identical sales, ex fuel, grew 2.2% and digital sales grew 31%.
GAAP net income was $297 million, or $0.37 per share,
compared to $508 million, or $0.62 per share, in the prior-year quarter. Adjusted
EPS totaled $0.44, beating forecasts of $0.41.
The company generated operating profit of $559 million in
the quarter. The alternative profit streams are on track to contribute an
incremental $100 million in operating profit in 2019 versus 2018.
During the quarter, Our Brands sales rose 3.1% from last year and the company launched 203 new Our Brands items.
As part of its Restock Kroger initiatives, Kroger expanded
to 1,780 pickup locations and 2,225 delivery locations, covering over 95% of
Kroger households. The company also launched Simple Truth Plant Based, a
collection of meatless food products to appeal to a new and rapidly-increasing customer
base.
For 2019, Kroger expects GAAP EPS of $2.30-2.40 and adjusted EPS of $2.15-2.25. Identical sales are expected to increase 2% to 2.25%.
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