Kroger Beats Q4 Earnings Estimates, Sees E-commerce Profitability in 2026

New CEO Greg Foran plans to accelerate top-line growth through price, fresh execution, e-commerce, and AI

Published on Mar. 5, 2026

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Kroger (NYSE:KR) reported better-than-expected Q4 earnings, with adjusted EPS of $1.28 beating estimates by $0.08. The company's quarterly revenue of $34.73 billion was slightly below analysts' expectations of $35.10 billion. Kroger's e-commerce business grew 20% in Q4 to a $16 billion annual run rate, and the company expects its e-commerce operations to reach profitability in 2026 through a hybrid store-based fulfillment model and partnerships with third-party delivery services.

Why it matters

Kroger's strong Q4 results and optimistic outlook for its e-commerce business highlight the company's ability to adapt to changing consumer preferences and competitive pressures in the grocery industry. The appointment of new CEO Greg Foran, who plans to focus on price, fresh execution, e-commerce, and AI, signals Kroger's commitment to driving top-line growth and improving profitability.

The details

In Q4, Kroger reported identical sales growth of 2.4% excluding fuel, and full-year adjusted EPS of $4.85, up 9% year-over-year. The company's e-commerce business grew 20% in Q4 to a $16 billion annual run rate, and Kroger expects its e-commerce operations to reach profitability in 2026 through a hybrid store-based fulfillment model and partnerships with third-party delivery services like Instacart, DoorDash, and Uber Eats. Kroger also plans to make bigger investments in price and service, funded by targeted cost savings in procurement and e-commerce, as well as higher store openings.

  • Kroger reported its Q4 2025 earnings on March 5, 2026.
  • Kroger expects its e-commerce business to reach profitability in 2026.

The players

Kroger

One of the largest supermarket operators in the United States, offering a wide range of retail grocery and related services.

Greg Foran

The new CEO of Kroger, who plans to accelerate top-line growth by focusing on price, fresh execution, e-commerce, AI, and faster operational execution across stores and digital channels.

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What they’re saying

“We must not let individuals continue to damage private property in San Francisco.”

— Robert Jenkins, San Francisco resident (San Francisco Chronicle)

“Fifty years is such an accomplishment in San Francisco, especially with the way the city has changed over the years.”

— Gordon Edgar, grocery employee (Instagram)

What’s next

Kroger plans to make bigger investments in price and service, funded by targeted cost savings in procurement and e-commerce, as well as higher store openings.

The takeaway

Kroger's strong Q4 results and optimistic outlook for its e-commerce business demonstrate the company's ability to adapt to changing consumer preferences and competitive pressures in the grocery industry. The appointment of new CEO Greg Foran, who plans to focus on price, fresh execution, e-commerce, and AI, signals Kroger's commitment to driving top-line growth and improving profitability.