The Kroger Co. reported second-quarter adjusted earnings of $1.09 per share. This figure slightly exceeded analyst expectations. Revenue reached $34.6 billion, falling just short of consensus estimates.
Identical sales excluding fuel grew by 0.2%. This marks a significant slowdown from the 3.4% growth recorded in the same quarter last year.
Kroger lowered its full-year identical sales growth forecast to a range of 0.2% to 0.8%. The previous guidance projected growth between 1.0% and 2.0%. Management attributed the revision to negative impacts from the Inflation Reduction Act on the pharmacy business.
The company reaffirmed its full-year adjusted earnings per share guidance. Shares fell over 3% in pre-market trading following the announcement.