Updated version 1 - Kroger plans to invest $5 billion by 2029, the new CEO will further focus on the grocery business.
路透社2026/10/20 19:36Updated stock price information and added details throughout the article.
Reuters, October 20 - Kroger Co (KR.N) announced a $5 billion investment plan aimed at reducing product prices and enhancing the shopping experience. This is the first strategic initiative introduced by new CEO Greg Foran, designed to revitalize the food retailer’s core business amid intensifying competition and more cautious consumer spending.
The company also set a target Tuesday to achieve approximately 3% core comparable sales growth by 2029, sending shares up as much as 2.6%.
Specific details are as follows:
During its Investor Day event, the company stated that this investment plan, to be implemented by 2029, will also focus on simplifying promotions, improving product displays, updating store formats, and strengthening customer loyalty programs.
“The $5 billion customer value investment is the single largest driver in this plan and is fully funded from our own resources,” Chief Financial Officer David Kennerley said.
Prior to Investor Day, Kroger announced investments in fresh food, ready-to-eat meals, private label products, and its membership program.
Greg Foran, who took on the CEO role in February (link), stated in a memo this month that Kroger plans to eliminate about one-third of group management roles within three years and utilize artificial intelligence to reduce repetitive tasks.
Kroger also said Tuesday it would focus on developing its e-commerce and retail media businesses to create higher-margin revenue streams.
(To assist non-English speakers, Reuters has automated the translation of its reports into several other languages. Since automated translation may contain errors or lack necessary context, Reuters does not guarantee the accuracy of automated translation texts and provides them solely for reader convenience. Reuters accepts no responsibility for any damage or loss caused by the use of automated translation functions.)
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
JPMorgan Private Bank: Without the end of the rate hike cycle, gold prices are unlikely to bottom out, and there is almost no support below $4,000.
JPMorgan Private Bank believes that before interest rates reach their peak, it will be difficult to confirm a bottom for gold prices. Thin liquidity coupled with expectations of further rate hikes this year present significant downward pressure. Chinese consumers are increasing their physical gold holdings, providing some support; however, Indian buyers are delaying festival purchases due to expectations that the price decline has not yet ended, substantially weakening demand-side support. For gold prices to regain upward momentum, multiple conditions need to coincide, including a drop in oil prices, cooling inflation, and a weaker US dollar.
JPMorgan raises the target price of VISA to $455.
Net loss narrows by 90% and North American operations turn profitable, but Stellantis (STLA.US) still struggles to relieve cash flow pressure
Stellantis (STLA.US) released its third quarter results on October 28: net revenue reached 37.611 billions euros, an increase of 1% year-on-year, surpassing the market expectation of approximately 36.4 billions euros.
Crypto prices
More
