Kroger: Q1 Earnings Top Estimates

by Christopher Freeburn | June 14, 2012 2:45 pm

Supermarket chain Kroger (NYSE:KR[1]) reported that its income for the fiscal first quarter[2] rose 1.6% to $439.4 million.

EPS for the quarter was 78 cents, which beat Wall Street, which had been looking for EPS of 72 cents, Reuters noted.

The company said that first-quarter sales increased 5.8% to $29.1 billion.

Investors liked the results. Kroger shares rose more than 5% in Thursday afternoon trading.

Same-supermarket sales rose 4.2%, excluding fuel. That missed analysts’ predictions of 4.9% growth.

The company raised its outlook for the rest of the year. It now projects earnings at between $2.33 and $2.40 a share. It had earlier predicted earnings of between $2.28 and $2.38 per share.

The new guidance topped Wall Street’s estimate of $2.32 a share.

Same-store sales, excluding fuel, are expected to grow between 3% and 3.5%, the company said.

Other supermarket chains saw their shares move upward in Thursday trading, including Safeway (NYSE:SWY[3]), Wal-Mart (NYSE:WMT[4]) and Supervalu (NYSE:SVU[5]).

Endnotes:
  1. KR: http://studio-5.financialcontent.com/investplace/quote?Symbol=KR
  2. income for the fiscal first quarter: http://www.reuters.com/article/2012/06/14/us-kroger-idUSBRE85D0TT20120614
  3. SWY: http://studio-5.financialcontent.com/investplace/quote?Symbol=SWY
  4. WMT: http://studio-5.financialcontent.com/investplace/quote?Symbol=WMT
  5. SVU: http://studio-5.financialcontent.com/investplace/quote?Symbol=SVU

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