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The Markets
by Proactive
Proactive UK has moved.
Coverage of London’s small caps continues on proactiveinvestors.com
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Retail

Kroger shares fall premarket after full year guidance silent on Hurricanes Harvey or Irma

The Houston area is Kroger’s third biggest market, with 115 stores and the impact of Hurricane Harvey is expected to hit the grocer’s third quarter numbers

Grocer Kroger Co (NYSE:KR) saw its shares fall in premarket on Friday after the company failed to address the impact of Hurricanes Harvey and Irma in its full year guidance.

Investors were obviously a tad bit miffed when the company, while confirming its full year guidance, did not mention the hurricanes.

READ: Kroger disappoints again - PRE-MARKET

The Houston area is Kroger’s third biggest market, with 115 stores and the impact of Hurricane Harvey is expected to hit the grocer’s third quarter numbers.

In the second quarter, the Cincinnati-based company said net income came in at US$353.0mln or 39 US cents per share, down from US$383.0mln, or 40 US cents per share, for the same period last year.

Adjusted EPS was US 47 cents, ahead of the 39 US cents consensus by analysts.

READ: Kroger Co plunges after dip in same store sales

Sales were US$27.6bn, up from US$26.6bn last year and ahead of the consensus of US$27.5bn.

The company said same-supermarket sales, excluding fuel, rose 0.7%, up against market’s consensus for a 0.4% rise. It reversed two consecutive quarters of declines.

The grocer its full-year earnings guidance of US$1.74 to US$1.79 and adjusted EPS guidance in the range of US$2.00 to US$2.05.

Same-supermarket growth, excluding fuel, is expected to rise between 0.5% and 1%. The market consensus is for EPS of US$1.98 and same-supermarket sales growth of 0.8%.

In premarket, its shares were down 6.63% at US$21.25.

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