revenue $46.1B, net income $903.0M. Kroger eCommerce turns profitable; comp sales slow to 4.3% as gross margin compresses 9bp

Filed June 26, 2026 · Period ending May 23, 2026 · Compared to 10-Q Jun 27, 2025 · ~2 min read

Key Changes

• high

  eCommerce business (including Media) achieved profitability in Q1 FY26, a milestone after years of investment. Adjusted eCommerce sales grew 19% excluding fulfillment-center exits and Vitacost sale.

  MD&A: eCommerce profitability verify on EDGAR →
• high

  Identical sales growth (ex fuel) decelerated to 1.0% from 3.2% prior year, pressured by 130bp headwind from Inflation Reduction Act, 40bp from generic prescription shifts, and 64bp from egg deflation.

  MD&A: Identical sales verify on EDGAR →
• high

  FIFO gross margin rate (ex fuel) compressed 9 basis points, driven by higher transportation costs, egg deflation, and increased price investments, partially offset by higher pharmacy margins and improved eCommerce profitability.

  MD&A: Gross margin verify on EDGAR →