The Kroger Co. (NYSE: KR) has released an updated long-term financial framework and strategy as part of its 2026 Investor Update, which is scheduled to take place on October 20, 2026. The company outlined specific targets for the fiscal years 2027 through 2029, focusing on growth in its core grocery business.
According to the filing, Kroger is targeting approximately 3% comparable sales growth in 2029, excluding fuel and pharmacy sales. The company also projects a compound annual growth rate (CAGR) of 3% to 6% for adjusted EBITDA and a CAGR of 7% to 11% for adjusted net EPS over the same period. These targets exclude the pending acquisition of Giant Eagle.
The company's strategy centers on three main pillars: winning with the customer, driving profitable digital growth, and modernizing operations. Kroger plans to invest in areas of strength, including fresh food and meals, grow its private label penetration, and expand into markets with attractive returns. The company also aims to grow eCommerce sales and Retail Media revenue while generating savings through direct sourcing and streamlined processes.
Kroger reaffirmed its guidance for full-year 2026, which was provided during its second quarter earnings. The company's capital allocation strategy remains unchanged, focusing on high-return growth investments, maintaining financial strength, and returning surplus capital to shareholders via dividends and share buybacks.
