Revenue growth has stalled to a near-flat 0.35% over the trailing twelve months as inflation tailwinds fade, while gross margin remains volatile, ranging from 20.6% to 23.4% across the last four quarters.
The Kroger Co. (KR) annual income statement — 30-year revenue, gross profit & net income history
| Metric | TTM | Jan'26 | Feb'25 | Feb'24 | Jan'23 | Jan'22 | Jan'21 | Feb'20 | Feb'19 | Feb'18 | Jan'17 | Jan'16 | Jan'15 | Feb'14 | Feb'13 | Jan'12 | Jan'11 | Jan'10 | Jan'09 | Feb'08 | Feb'07 | Jan'06 | Jan'05 | Jan'04 | Feb'03 | Feb'02 | Feb'01 | Jan'00 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 149.33B | 147.64B | 147.12B | 150.04B | 148.26B | 137.89B | 132.5B | 122.29B | 121.85B | 123.28B | 115.34B | 109.83B | 108.47B | 98.38B | 96.62B | 90.27B | 82.05B | 76.61B | 76.15B | 70.34B | 66.11B | 60.55B | 56.43B | 53.79B | 51.76B | 50.1B | 49B | 45.35B | 43.08B | 33.93B | 25.17B |
| Revenue Growth % | 1.58% | 0.35% | -1.94% | 1.2% | 7.52% | 4.07% | 8.35% | 0.36% | -1.16% | 6.89% | 5.01% | 1.26% | 10.26% | 1.82% | 7.03% | 10.02% | 7.1% | 0.61% | 8.26% | 6.39% | 9.18% | 7.3% | 4.91% | 3.92% | 3.32% | 2.24% | 8.04% | 5.27% | 26.98% | 34.79% | 5.15% |
| Cost of Goods Sold | 114.81B | 113.24B | 113.72B | 116.67B | 116.48B | 107.54B | 101.6B | 95.29B | 95.1B | 95.81B | 89.5B | 85.5B | 85.51B | 78.14B | 76.73B | 71.39B | 63.8B | 58.85B | 58.54B | 53.71B | 50.12B | 45.56B | 42.14B | 39.64B | 37.81B | 36.4B | 35.81B | 33.32B | 32.06B | 25.47B | 19.27B |
| COGS % of Revenue | - | 76.7% | 77.3% | 77.76% | 78.57% | 77.99% | 76.68% | 77.93% | 78.05% | 77.72% | 77.6% | 77.84% | 78.84% | 79.43% | 79.41% | 79.08% | 77.76% | 76.82% | 76.88% | 76.36% | 75.8% | 75.25% | 74.67% | 73.69% | 73.05% | 72.65% | 73.07% | 73.46% | 74.42% | 75.07% | 76.58% |
| Gross Profit | 34.51B | 34.4B | 33.4B | 33.36B | 31.78B | 30.35B | 30.9B | 26.99B | 26.75B | 27.47B | 25.84B | 24.33B | 22.95B | 20.24B | 19.89B | 18.88B | 18.25B | 17.76B | 17.6B | 16.63B | 16B | 14.99B | 14.29B | 14.15B | 13.95B | 13.7B | 13.19B | 12.04B | 11.02B | 8.46B | 5.9B |
| Gross Margin % | 23.11% | 23.3% | 22.7% | 22.24% | 21.43% | 22.01% | 23.32% | 22.07% | 21.95% | 22.28% | 22.4% | 22.16% | 21.16% | 20.57% | 20.59% | 20.92% | 22.24% | 23.18% | 23.12% | 23.64% | 24.2% | 24.75% | 25.33% | 26.31% | 26.95% | 27.35% | 26.93% | 26.54% | 25.58% | 24.93% | 23.42% |
| Gross Profit Growth % | - | 2.99% | 0.12% | 4.99% | 4.71% | -1.79% | 14.48% | 0.91% | -2.62% | 6.32% | 6.17% | 6.02% | 13.42% | 1.73% | 5.37% | 3.47% | 2.73% | 0.89% | 5.89% | 3.93% | 6.73% | 4.86% | 0.99% | 1.46% | 1.82% | 3.84% | 9.62% | 9.23% | 30.26% | 43.47% | 0.73% |
| Operating Expenses | 32.43B | 32.51B | 29.55B | 30.27B | 27.65B | 26.87B | 28.12B | 24.74B | 24.14B | 24.86B | 22.38B | 20.76B | 19.82B | 17.51B | 17.13B | 17.6B | 16.06B | 16.67B | 15.15B | 14.26B | 13.76B | 12.95B | 13.45B | 12.81B | 11.38B | 11.34B | 10.8B | 9.91B | 9.22B | 7.12B | 5.03B |
| OpEx % of Revenue | - | 22.02% | 20.09% | 20.17% | 18.65% | 19.49% | 21.22% | 20.23% | 19.81% | 20.16% | 19.41% | 18.9% | 18.27% | 17.8% | 17.73% | 19.5% | 19.58% | 21.76% | 19.9% | 20.28% | 20.81% | 21.39% | 23.83% | 23.82% | 21.98% | 22.64% | 22.05% | 21.86% | 21.39% | 20.98% | 19.98% |
| Selling, General & Admin | 14.31B | 872M | 877M | 891M | 839M | 845M | 874M | 884M | 884M | 911M | 881M | 723M | 707M | 613M | 628M | 619M | 623M | 620M | 659M | 643M | 12.49B | 11.69B | 11.29B | 11.01B | 10.27B | 10.13B | 9.8B | 8.97B | 8.38B | 6.53B | 4.67B |
| SG&A % of Revenue | - | 0.59% | 0.6% | 0.59% | 0.57% | 0.61% | 0.66% | 0.72% | 0.73% | 0.74% | 0.76% | 0.66% | 0.65% | 0.62% | 0.65% | 0.69% | 0.76% | 0.81% | 0.87% | 0.91% | 18.89% | 19.3% | 20.01% | 20.47% | 19.85% | 20.23% | 19.99% | 19.77% | 19.45% | 19.23% | 18.56% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 4M | 31.64B | 28.68B | 29.38B | 26.81B | 26.03B | 27.25B | 23.86B | 23.25B | 23.95B | 21.5B | 20.04B | 19.11B | 16.9B | 16.5B | 16.98B | 15.44B | 16.05B | 14.49B | 13.62B | 1.27B | 1.26B | 2.16B | 1.8B | 1.1B | 1.21B | 1.01B | 946M | 836M | 592M | 356.8M |
| Operating Income | 2.08B | 1.89B | 3.85B | 3.1B | 4.13B | 3.48B | 2.78B | 2.25B | 2.61B | 2.61B | 3.45B | 3.58B | 3.14B | 2.73B | 2.76B | 1.28B | 2.18B | 1.09B | 2.45B | 2.36B | 2.24B | 2.04B | 843M | 1.34B | 2.57B | 2.36B | 2.39B | 2.12B | 1.8B | 1.34B | 867.3M |
| Operating Margin % | 1.39% | 1.28% | 2.62% | 2.06% | 2.78% | 2.52% | 2.1% | 1.84% | 2.15% | 2.12% | 2.99% | 3.26% | 2.89% | 2.77% | 2.86% | 1.42% | 2.66% | 1.42% | 3.22% | 3.36% | 3.38% | 3.36% | 1.49% | 2.5% | 4.97% | 4.71% | 4.88% | 4.68% | 4.18% | 3.96% | 3.45% |
| Operating Income Growth % | - | -50.9% | 24.32% | -24.96% | 18.67% | 25.07% | 23.5% | -13.89% | 0.08% | -24.33% | -3.47% | 13.99% | 15.12% | -1.41% | 116.28% | -41.43% | 100% | -55.51% | 3.81% | 5.64% | 9.88% | 141.4% | -37.23% | -47.8% | 9.07% | -1.26% | 12.58% | 17.69% | 34.35% | 54.73% | 5.49% |
| EBITDA | 5.58B | 5.81B | 7.7B | 6.85B | 7.71B | 6.91B | 6.15B | 5.54B | 5.08B | 5.05B | 5.79B | 5.67B | 5.08B | 4.43B | 4.42B | 2.92B | 3.78B | 2.62B | 3.9B | 3.72B | 3.51B | 3.3B | 2.1B | 2.55B | 3.66B | 3.44B | 3.4B | 3.07B | 2.64B | 1.93B | 1.22B |
| EBITDA Margin % | 3.74% | 3.94% | 5.23% | 4.56% | 5.2% | 5.01% | 4.64% | 4.53% | 4.17% | 4.09% | 5.02% | 5.16% | 4.69% | 4.5% | 4.57% | 3.23% | 4.61% | 3.41% | 5.12% | 5.28% | 5.31% | 5.45% | 3.72% | 4.74% | 7.07% | 6.86% | 6.93% | 6.76% | 6.13% | 5.7% | 4.86% |
| EBITDA Growth % | -29.04% | -24.53% | 12.45% | -11.15% | 11.57% | 12.24% | 11.06% | 9.08% | 0.61% | -12.85% | 2.24% | 11.41% | 14.84% | 0.27% | 51.44% | -22.9% | 44.57% | -32.84% | 4.79% | 5.96% | 6.3% | 57.22% | -17.75% | -30.27% | 6.55% | 1.12% | 10.72% | 16.26% | 36.45% | 57.99% | 6.75% |
| D&A (Non-Cash Add-back) | 3.5B | 3.92B | 3.85B | 3.75B | 3.58B | 3.43B | 3.37B | 3.29B | 2.46B | 2.44B | 2.34B | 2.09B | 1.95B | 1.7B | 1.65B | 1.64B | 1.6B | 1.52B | 1.44B | 1.35B | 1.27B | 1.26B | 1.26B | 1.21B | 1.09B | 1.08B | 1.01B | 946M | 836M | 592M | 356.8M |
| EBIT | 2B | 1.84B | 3.79B | 3.28B | 3.44B | 2.62B | 3.91B | 2.58B | 4.6B | 2.08B | 3.44B | 3.58B | 3.14B | 2.73B | 2.76B | 1.28B | 2.18B | 1.09B | 2.45B | 2.36B | 2.24B | 2.04B | 843M | 1.34B | 2.59B | 2.4B | 2.39B | 2.12B | 1.8B | 1.34B | 867.3M |
| Net Interest Income | -662M | -639M | -459M | -449M | -544M | -581M | -548M | -599M | -616M | -598M | -520M | -481M | -488M | -443M | -451M | -435M | -454M | -502M | -485M | -474M | -488M | -510M | -557M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 48M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 710M | 639M | 459M | 449M | 544M | 581M | 548M | 599M | 616M | 598M | 520M | 481M | 488M | 443M | 451M | 435M | 454M | 502M | 485M | 474M | 488M | 510M | 557M | 604M | 660M | 689M | 884M | 1.04B | 305.9M | 318.4M | 302.9M |
| Other Income/Expense | -740M | -690M | -507M | -260M | -1.22B | -1.43B | 590M | -270M | 1.36B | -1.13B | -538M | -482M | -488M | -443M | -462M | -435M | -448M | -502M | -485M | -474M | -488M | -510M | -557M | -604M | -600M | -648M | -881M | -1.02B | -914M | -388M | -300M |
| Pretax Income | 1.34B | 1.2B | 3.34B | 2.84B | 2.9B | 2.05B | 3.37B | 1.98B | 3.98B | 1.48B | 2.91B | 3.09B | 2.65B | 2.28B | 2.3B | 843M | 1.73B | 589M | 1.97B | 1.89B | 1.75B | 1.52B | 286M | 739M | 1.97B | 1.71B | 1.51B | 1.1B | 889M | 954M | 567.3M |
| Pretax Margin % | 0.9% | 0.81% | 2.27% | 1.89% | 1.96% | 1.49% | 2.54% | 1.62% | 3.26% | 1.2% | 2.53% | 2.82% | 2.44% | 2.32% | 2.38% | 0.93% | 2.11% | 0.77% | 2.58% | 2.68% | 2.64% | 2.52% | 0.51% | 1.37% | 3.81% | 3.42% | 3.08% | 2.43% | 2.06% | 2.81% | 2.25% |
| Income Tax | 251M | 176M | 670M | 667M | 653M | 385M | 782M | 469M | 900M | -405M | 957M | 1.04B | 902M | 751M | 794M | 247M | 601M | 532M | 717M | 664M | 633M | 567M | 390M | 454M | 740M | 668M | 628M | 479M | 385M | 365M | 214.6M |
| Effective Tax Rate % | 18.69% | 14.67% | 20.05% | 23.52% | 22.5% | 18.77% | 23.2% | 23.67% | 22.62% | -27.29% | 32.84% | 33.78% | 34.05% | 32.91% | 34.49% | 29.3% | 34.66% | 90.32% | 36.45% | 35.17% | 36.21% | 37.18% | 136.36% | 61.43% | 37.51% | 39.04% | 41.64% | 43.47% | 43.31% | 38.26% | 37.83% |
| Net Income | 1.08B | 1.02B | 2.67B | 2.16B | 2.24B | 1.66B | 2.58B | 1.66B | 3.11B | 1.91B | 1.98B | 2.04B | 1.73B | 1.52B | 1.5B | 602M | 1.12B | 70M | 1.25B | 1.21B | 1.11B | 958M | -104M | 285M | 1.21B | 1.04B | 877M | 613M | 247M | 465M | 349.8M |
| Net Margin % | 0.73% | 0.69% | 1.81% | 1.44% | 1.51% | 1.2% | 1.95% | 1.36% | 2.55% | 1.55% | 1.71% | 1.86% | 1.59% | 1.54% | 1.55% | 0.67% | 1.36% | 0.09% | 1.64% | 1.72% | 1.69% | 1.58% | -0.18% | 0.53% | 2.33% | 2.08% | 1.79% | 1.35% | 0.57% | 1.37% | 1.39% |
| Net Income Growth % | -60.21% | -61.88% | 23.15% | -3.57% | 35.59% | -35.98% | 55.82% | -46.66% | 63.08% | -3.44% | -3.14% | 18% | 13.76% | 1.47% | 148.67% | -46.06% | 1494.29% | -94.4% | 3.31% | 8.43% | 16.39% | 1021.15% | -136.49% | -76.35% | 15.53% | 18.93% | 43.07% | 148.18% | -46.88% | 32.93% | 15.52% |
| Net Income (Continuing) | 1.09B | 1.02B | 2.67B | 2.17B | 2.25B | 1.67B | 2.59B | 1.51B | 3.08B | 1.89B | 1.96B | 2.05B | 1.75B | 1.53B | 1.51B | 596M | 1.13B | 57M | 1.25B | 1.22B | 1.11B | 958M | -104M | 285M | 1.23B | 1.04B | 880M | 623M | 504M | 589M | 352.7M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 6M | 9M | -4M | -14M | -28M | -23M | -26M | -29M | -51M | -26M | 12M | -22M | 30M | 11M | 7M | -15M | 2M | 74M | 95M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 1.78 | 1.54 | 3.67 | 2.96 | 3.06 | 2.17 | 3.27 | 2.04 | 3.76 | 2.09 | 2.05 | 2.06 | 1.72 | 1.45 | 1.39 | 0.51 | 0.87 | 0.06 | 0.95 | 0.87 | 0.77 | 0.66 | -0.07 | 0.21 | 0.76 | 0.63 | 0.52 | 0.36 | 0.23 | 0.32 | 0.34 |
| EPS Growth % | -53.05% | -58.04% | 23.99% | -3.27% | 41.01% | -33.64% | 60.29% | -45.74% | 79.9% | 1.95% | -0.49% | 19.77% | 18.62% | 4.32% | 172.55% | -41.38% | 1481.82% | -94.21% | 9.2% | 12.99% | 16.67% | 1042.86% | -133.33% | -72.37% | 20.63% | 21.15% | 44.44% | 56.52% | -28.13% | -5.88% | 13.33% |
| EPS (Basic) | - | 1.56 | 3.70 | 2.99 | 3.10 | 2.20 | 3.31 | 2.05 | 3.80 | 2.11 | 2.08 | 2.09 | 1.75 | 1.47 | 1.39 | 0.51 | 0.88 | 0.06 | 0.96 | 0.88 | 0.78 | 0.66 | -0.07 | 0.21 | 0.77 | 0.63 | 0.54 | 0.37 | 0.24 | 0.46 | 0.35 |
| Diluted Shares Outstanding | 608M | 655M | 720M | 725M | 727M | 754M | 781M | 805M | 818M | 904M | 958M | 980M | 994M | 1.04B | 1.07B | 1.19B | 1.28B | 1.3B | 1.32B | 1.39B | 1.45B | 1.46B | 1.47B | 1.51B | 1.58B | 1.65B | 1.69B | 1.72B | 1.06B | 1.05B | 1.04B |
| Basic Shares Outstanding | 606M | 652M | 715M | 718M | 718M | 744M | 773M | 799M | 810M | 895M | 942M | 966M | 980M | 1.03B | 1.07B | 1.18B | 1.27B | 1.29B | 1.3B | 1.38B | 1.43B | 1.45B | 1.47B | 1.49B | 1.56B | 1.65B | 1.65B | 1.66B | 1.02B | 1.01B | 999.43M |
| Dividend Payout Ratio | - | 87.11% | 33.13% | 36.78% | 30.39% | 35.59% | 20.66% | 29.29% | 14.05% | 23.23% | 21.72% | 18.88% | 19.56% | 21% | 17.84% | 42.69% | 22.4% | 340% | 18.17% | 16.71% | 12.56% | - | - | - | - | - | - | - | - | - | - |
Quick answers to the most common questions about buying KR stock.
For fiscal year 2025, The Kroger Co. (KR) reported total revenue of $147.64B. This represents a 486.6% increase compared to $25.17B in 1996.
The Kroger Co. (KR) is profitable, generating $1.02B in net income for the fiscal year ending 2025 with a net profit margin of 0.7%.
The Kroger Co. (KR) reported an operating income of $1.89B, resulting in an operating profit margin of 1.3%. This margin reflects the operational efficiency of the business before interest and taxes.
The Kroger Co. (KR) generated $34.40B in gross profit for the year, representing a gross profit margin of 23.3%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Margin compression from shrink and labor
Metrics are mathematically derived from official filings.
Organic Growth Stalls Amid Inflation Fade
According to recent SEC filings, Kroger's revenue growth has decelerated to a near-flat 0.35% over the trailing twelve months, a stark reversal from the mid-single-digit growth seen in prior periods. This suggests the company is now navigating a normalized pricing environment where volume gains must offset the loss of inflation tailwinds.
The quarterly data shows growth moderating from 2.2% in Q1 2026 to 2.0% in Q2 2026, indicating the deceleration is ongoing. This trajectory implies the core grocery business is reverting to its low-single-digit historical growth rate, placing heightened importance on gaining market share and expanding higher-margin alternative profit streams to drive overall sales.
Gross Margin Volatility Exposes Structural Limits
As reported in financial statements, Kroger's gross margin has displayed significant volatility, ranging from a low of 20.6% in Q2 2026 to a high of 23.4% in Q1 2026, highlighting the challenge of managing costs in a low-price competitive landscape. The average margin remains well below peers like Target (27.9%) and Sprouts (37.1%), suggesting limited pricing power and high sensitivity to product mix and fuel sales.
The Q2 2026 dip to 20.6% appears anomalous and may reflect a significant LIFO adjustment or unfavorable quarter-over-quarter cost dynamics, as it deviates sharply from the recent ~23% trend. The company's structural margin ceiling is defined by its mix of lower-margin fuel and consumables, making sustained expansion unlikely without a decisive shift toward higher-margin private label or retail media.
SG&A Discipline Eroded by One-Time Charges
Based on Kroger's reported figures, SG&A expense collapsed to $205M in Q4 2025 and Q2 2026 from a normalized range of $200-270M, a reduction that coincides with a massive operating loss in Q3 2025. This pattern implies the company is potentially capitalizing certain costs or recognizing significant, non-recurring items that obscure the true underlying cost trajectory.
The $8.0B SG&A figure in Q1 2026 is a dramatic outlier, likely representing an accounting reclassification or a very large, non-cash charge, given that the same quarter in 2025 and 2024 reported SG&A of ~$270M. Investors should monitor the normalization of this line item, as the company's razor-thin operating margin leaves no room for a return to higher baseline overhead levels without impairing profitability.
Net Income Distorted by Massive Q3 2025 Loss
According to recent SEC filings, Kroger reported a net loss of $1.3 billion in Q3 2025, an event that appears entirely disconnected from the operational performance implied by a 23.3% gross margin. This suggests the quarter was heavily impacted by significant non-cash charges, such as impairment or restructuring, which severely distort trailing twelve-month earnings metrics.
The positive EPS growth rates seen in subsequent quarters (e.g., 51.1% in Q4 2025) are largely a mathematical artifact of the easy comparison against the Q3 2025 loss, not indicative of a fundamental earnings acceleration. The quality of reported net income warrants scrutiny, as the underlying operational profitability appears to hover around a 1.8-2.5% net margin, which is far more representative of the core business.
Q3 2025 Marks a Period of Severe Operational Disruption
The single most important period in Kroger's recent income statement history is Q3 2025, which saw an operating loss of $1.5 billion and a net loss of $1.3 billion despite stable gross margins. This inflection point appears to be driven by significant non-operational or restructuring events rather than a deterioration in core grocery sales.
The lasting impact of this quarter is the creation of a volatile and difficult-to-analyze earnings baseline, complicating year-over-year comparisons. It also likely represents a reset point for certain asset values or strategic initiatives, the full implications of which will unfold in subsequent quarters and require investors to focus on adjusted metrics to gauge true operational recovery.
The Bull Case Relies on Unproven Margin Expansion
The strongest analytical challenge to Kroger's income statement narrative is the persistent, industry-low operating margin of approximately 1.3%, which leaves the company critically exposed to even minor cost shocks from shrink or labor. Based on the reported figures, the story of transforming into a high-margin data and media company has not yet materially improved the core profitability profile of the grocery business.
While management highlights growth in