Kroger Co. Q3 Profit Decreases, but beats estimates

Kroger Co. (KR) released a profit for third quarter that decreased from last year but beat the Street estimates.

The company’s bottom line totaled $483 million, or $0.64 per share. This compares with $631 million, or $0.80 per share, in last year’s third quarter.

Excluding items, Kroger Co. reported adjusted earnings of $589 million or $0.78 per share for the period.

Analysts on average had expected the company to earn $0.66 per share, according to figures compiled by Thomson Reuters. Analysts’ estimates typically exclude special items.

The company’s revenue for the quarter rose 7.2% to $31.86 billion from $29.72 billion last year.

Kroger Co. earnings at a glance:

-Earnings (Q3): $483 Mln. vs. $631 Mln. last year.
-EPS (Q3): $0.64 vs. $0.80 last year.
-Analyst Estimates: $0.66
-Revenue (Q3): $31.86 Bln vs. $29.72 Bln last year.

-Guidance:
Full year EPS guidance: $3.40 – $3.50

Express Swings To Profit In Q3 – Quick Facts

Fashion apparel retailer Express, Inc. (EXPR) reported Thursday that net income for the third quarter was $13.09 million or $0.19 per share, compared to net loss of $90.35 million or $1.39 per share in the prior-year quarter.

Excluding items, adjusted earnings for the quarter were $0.17 per share, compared to adjusted loss of $1.17 per share in the year-ago quarter.

Net sales for the quarter increased 47 percent to $471.98 million from $322.06 million in the same quarter last year. Consolidated comparable sales increased 46 percent.

On average, analysts polled by Thomson Reuters expected the company to report earnings of $0.02 per share on sales of $503.1 million for the quarter. Analysts’ estimates typically exclude special items.

Looking ahead, the company now projects comparable sales to increase by low-single digits for the fourth quarter.

Kroger Co. Raises Full Year Guidance; Q3 Profit Beats Estimates

While reporting third-quarter results on Thursday, The Kroger Co. (KR) increased its full-year guidance. Also, the company said it remains confident in its ability to deliver total shareholder returns of 8% to 11% over time.

For the full year 2021, the company expects earnings in a range of $3.40 – $3.50 per share. Adjusted identical sales are projected to decline in a range of 0.4% – 0.2%. The company now expects two-year identical sales stack to be in the range of 13.7% to 13.9%. Analysts polled by Thomson Reuters expect the company to report profit per share of $3.34.

Third-quarter adjusted profit per share was $0.78 compared to $0.71, prior year. On average, 20 analysts polled by Thomson Reuters expected the company to report profit per share of $0.66, for the quarter. Analysts’ estimates typically exclude special items. Adjusted FIFO operating profit increased to $974 million from $871 million.

Net profit was $483 million or $0.64 per share compared to $631 million or $0.80 per share, prior year.

Total company sales were $31.9 billion, compared to $29.7 billion, last year. Excluding fuel, sales increased 2.9%. Analysts on average had estimated $31.23 billion in revenue.

Identical sales without fuel increased 3.1%, for the quarter. Two-year identical sales stacked were up 14.0%.

Shares of Kroger Co. were up 6% in pre-market trade on Thursday.

Kroger Stock Jumps 9% On Q3 Results, Outlook Raise

Shares of Kroger Co. (KR) are gaining over 9% on Thursday morning after the grocery retailer’s third-quarter profit trumped Wall Street view and lifted its outlook.

KR is currently trading at $43.85, up $3.64 or 9.05%, on the NYSE. The stock has traded between $30.35 and $47.99 in the 52 week period.

Net profit was $483 million or $0.64 per share, down from $631 million or $0.80 per share last year.

Third-quarter adjusted profit was $0.78, up from $0.71 per share last year. On average, 20 analysts polled by Thomson Reuters expected the company to report profit per share of $0.66, for the quarter. Analysts’ estimates typically exclude special items.

Sales were $31.9 billion, up from $29.7 billion last year. Excluding fuel, sales increased 2.9%. Analysts on average had estimated $31.23 billion in revenue.

For the full year 2021, the company now expects earnings of $3.40 – $3.50 per share and adjusted identical sales to drop in a range of 0.4% – 0.2%. Analysts polled by Thomson Reuters expect profit per share of $3.34.

European Economics Preview: Swiss GDP Data Due

Quarterly national accounts data from Switzerland is due on Friday, headlining a light day for the European economic news.

At 2.00 am ET, Destatis releases Germany’s import prices for October. Import price inflation is expected to climb to 19.6 percent from 17.7 percent in September.

In the meantime, retail sales and household consumption figures are due from Norway.

At 2.45 am ET, France Insee is scheduled to issue consumer sentiment survey results. The confidence index is expected to fall marginally to 98 in November from 99 in October.

At 3.00 am ET, the State Secretariat for Economic Affairs, or SECO, releases Swiss GDP data for the third quarter. Economists forecast the economy to grow 2 percent sequentially after rising 1.8 percent in the second quarter.

In the meantime, economic tendency survey results are due from Sweden.

At 3.30 am ET, Statistics Sweden publishes retail sales for October. Sales had dropped 0.3 percent on month in September.

At 4.00 am ET, the European Central Bank releases monetary aggregates for October. M3 is forecast to grow 7.4 percent annually, the same rate as seen in September.

Also, business confidence from Italy and manufacturing Purchasing Managers’ survey results from Austria are due.