Albertsons Profit Tops Estimates as Grocers Rack Up Sales Gains

(Bloomberg) — Albertsons Cos. reported a quarterly profit that topped Wall Street’s estimates, extending a string of robust results that have made the grocer a takeover prize for Kroger Co. 

(Bloomberg) — Albertsons Cos. reported a quarterly profit that topped Wall Street’s estimates, extending a string of robust results that have made the grocer a takeover prize for Kroger Co. 

Adjusted earnings climbed to 87 cents a share in the fiscal third quarter, Albertsons said in a statement Tuesday. That surpassed the 66-cent average of analyst estimates compiled by Bloomberg. 

Grocers are racking up sales gains as soaring US inflation forces shoppers to spend more on essentials. Albertsons recorded a 7.9% jump in same-store sales, surpassing the 4.9% projected by analysts, and the retailer attributed the increase to investments in digital offerings, private-label goods and fresh food. 

“As we look ahead to the balance of the year and into fiscal 2023, we believe that all of these initiatives position us well to continue to drive top-line growth,” Chief Executive Officer Vivek Sankaran said in the statement. 

Albertsons rose less than 1% ahead of regular trading in New York. The Boise, Idaho-based company said it wouldn’t hold a conference call to discuss the financial results, citing its pending acquisition by Kroger. 

US antitrust regulators are scrutinizing the $24.6 billion deal, which was announced in October. Kroger has said it expects the transaction to close in 2024. 

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