Kroger (KR) shares surged Thursday after it better-than-expected adjusted profit for the second quarter.
The supermarket chain posted adjusted earnings per share (EPS) of $0.93, topping the $0.91 consensus estimate of analysts polled by Visible Alpha. Diluted EPS of $0.64 and revenue of $33.91 billion missed expectations.
Kroger affirmed most of its full-year outlook, while lifting the floor for its same-store sales growth projection, excluding fuel, to 0.75% from 0.25%. Chief Financial Officer (CFO) Todd Foley said the chain's "positive customer trends are driving sales momentum that we expect to continue in the second half of the year."
Kroger did not provide a substantial update to its progress in addressing regulatory concerns over its $24.6 billion merger with Albertsons (ACI). Chief Executive Officer (CEO) Rodney McMullen said the company is "confident in the facts and the strength of our position" as Kroger fights the Federal Trade Commission (FTC)'s attempts to halt the merger.
Kroger shares rose more than 6% to $54.80 in late-morning trading Thursday and are up about 20% this year.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.