Kroger Co. (KR)

In June 2025, Kroger announced a 9% increase in its quarterly dividend, marking its 19th consecutive year of dividend increases. The proposed merger with Albertsons Companies, Inc. was terminated in December 2024 due to antitrust concerns, leading Kroger to restructure and redirect capital towards a share repurchase program and a technology overhaul. In January 2026, Kroger completed the sale of Vitacost.com, Inc. to streamline operations. Kroger announced an expanded generative AI partnership with Google Cloud to deploy Gemini Enterprise for customer experience in January 2026. In January 2026, Kroger announced several key leader updates, including promotions within its retail divisions. In December 2025, Kroger launched a "Verified Savings Program" offering a 20% discount on produce and half-off Boost memberships to eligible customers using government assistance programs. Kroger completed its 2025 remodel program with a ribbon-cutting in Indiana. In December 2025, Kroger reported a GAAP loss for its third fiscal quarter, driven by a non-cash impairment charge related to the closure of underperforming automated fulfillment centers.

Demand for Kroger's products and services exhibits seasonality, with increased demand around major holidays such as Christmas, Easter, and Thanksgiving. Demand for certain products increases during the summer months, while sales of comfort foods and holiday treats peak in the colder months. School summer holidays and the October school half-term also contribute to seasonal sales fluctuations, as does the back-to-school period.

The Kroger Co. is a prominent American retail company with a vast network of supermarkets and multi-department stores across the United States, operating in the consumer staples sector, specifically the grocery store industry. Kroger's business includes combination food and drug stores, multi-department stores, marketplace stores, and price impact warehouses, offering a diverse product portfolio, including natural and organic foods, pharmacies, general merchandise, and private-label brands. The company also operates supermarket fuel centers and offers online platforms for product sales.

Kroger's operations are primarily concentrated within the United States, spanning 35 states and the District of Columbia. As of December 2025, the company operates approximately 1,249 Kroger stores across 16 states and territories, including Texas, Ohio, Georgia, Michigan, Tennessee, Kentucky, and Indiana. The company operates under various local banner names, including Ralphs, Fred Meyer, King Soopers, Dillons, Food 4 Less, Fry's, Harris Teeter, Jay C, QFC, and Smith's.

Kroger was named to Foundry's Computerworld 2026 List of Best Places to Work in IT in December 2025. The launch of the "Verified Savings Program" in December 2025 supports communities and improves price image. The expanded partnership with Google Cloud in January 2026 enhances the customer experience and modernizes the brand's image. Kroger continues to introduce new private-label products, strengthening brand loyalty and appeal. The termination of the Albertsons merger in December 2024 led to a focus on the core business, share repurchases, and technology overhaul. The closure of some automated fulfillment centers and associated layoffs in August 2025 could have a temporary negative impact on employee morale and public perception.

The ownership of The Kroger Co. is predominantly held by institutional investors, who collectively own approximately 75% to 81.88% of the company's shares. Major institutional shareholders include The Vanguard Group, Inc., BlackRock, Inc., Berkshire Hathaway Inc., Wellington Management Group LLP, and State Street Corporation. Individual investors hold approximately 17% of Kroger's shares, while insider ownership is a smaller portion, typically under 1%.