Kroger quarterly ident growth continues

CINCINNATI Kroger today reported that it has reached its 10th consecutive quarter of identical-supermaket sales increases, excluding fuel, in exxess of 3%. According to the company, for its third quarter ended Nov. 10, identical-supermarket sales, excluding fuel, increased 5.7%.

The company reported total sales increased 9.8% to $16.1 billion for the third quarter. Net earnings totaled $253.8 million, or 37 cents per diluted share.  Net earnings in the same period last year were $214.7 million, or 30 cents per diluted share.

"Our earnings performance this quarter was solid. Our strategy continues to deliver earnings growth in a variety of economic and competitive conditions, which underscores the core strength of Kroger's business model," said David Dillon, Kroger chairman and ceo. "Kroger's strong sales performance in the third quarter is the direct result of our associates' efforts to focus on our customers. Our business model positions us well to serve the diverse needs of our customers."

During the first three quarters of fiscal 2007, the company reported that total sales increased 7.6% to $53 billion. For the same period, identical-supermarket sales, excluding fuel, increased 5.3%.

Net earnings for the first three quarters of fiscal 2007 were $857.6 million, or $1.22 per diluted share. Net earnings for the same period in fiscal 2006 were $730.1 million, or $1.01 per diluted share.

Kroger said that it now expects identical-supermarket sales growth of about 5% for the full year, excluding fuel sales. Earnings per diluted share are expected to slightly exceed the range previously given of $1.64 to $1.67.