Kroger Financials
This page shows Kroger (KR) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 19 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Thin-margin retail economics stand out here: cash stayed resilient while reported profit swung with costs below gross margin.
FY2026 paired a five-year-high gross margin of23.3% with free cash flow of$3.46B , even as reported earnings weakened. That combination says the squeeze sat below gross profit rather than in merchandise economics, and cash conversion actually improved even while net margin thinned.
The balance sheet remains structurally tight rather than cash-rich: the current ratio stayed below 1 every year, and debt to equity ended at 2.4x. The sharper ROE in FY2025 was therefore partly a math effect from equity shrinking to
This is also a capital-return story built on recurring cash generation: FY2026 operating cash flow of
Financial Health Signals
Scored against operating companies for FY2026. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of Kroger's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Kroger has an operating margin of 1.3%, meaning the company retains $1 of operating profit per $100 of revenue. This results in a moderate score of 51/100, indicating healthy but not exceptional operating efficiency. This is down from 2.6% the prior year.
Kroger's revenue grew a modest 0.4% year-over-year to $147.6B. This slow but positive growth earns a score of 29/100.
Kroger has elevated debt relative to equity (D/E of 2.24), meaning the company relies heavily on borrowed funds. This high leverage results in a low score of 28/100, reflecting increased financial risk.
Kroger's current ratio of 0.79 is below the typical benchmark, resulting in a score of 12/100. This tight liquidity could limit financial flexibility if cash inflows slow.
Kroger has a free cash flow margin of 2.3%, earning a moderate score of 35/100. The company generates positive cash flow after capital investments, but with room for improvement.
Kroger earns a strong 15.7% return on equity (ROE), meaning it generates $16 of profit for every $100 of shareholders' equity. This efficient capital use earns a returns score of 66/100. This is down from 45.0% the prior year.
Kroger scores 4.27, well above the 2.99 safe threshold. This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Kroger passes 6 of 9 financial strength tests. 3 of 4 profitability signals pass, 2 of 3 leverage/liquidity signals pass, 1 of 2 efficiency signals pass.
For every $1 of reported earnings, Kroger generates $7.20 in operating cash flow ($7.3B OCF vs $1.0B net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Key Financial Metrics
Earnings & Revenue
Kroger generated $147.6B in revenue in fiscal year 2026. This represents an increase of 0.4% from the prior year.
Kroger's EBITDA was $5.2B in fiscal year 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents a decrease of 26.4% from the prior year.
Kroger reported $1.0B in net income in fiscal year 2026. This represents a decrease of 61.9% from the prior year.
Kroger earned $1.54 per diluted share (EPS) in fiscal year 2026. This represents a decrease of 58.0% from the prior year.
Cash & Balance Sheet
Kroger generated $3.5B in free cash flow in fiscal year 2026, representing cash available after capex. This represents an increase of 94.5% from the prior year.
Kroger held $2.9B in cash against $14.5B in long-term debt as of fiscal year 2026.
Kroger paid $1.37 per share in dividends in fiscal year 2026. This represents an increase of 9.6% from the prior year.
Kroger had 613M shares outstanding in fiscal year 2026. This represents a decrease of 7.3% from the prior year.
Margins & Returns
Kroger's gross margin was 23.3% in fiscal year 2026, indicating the percentage of revenue retained after direct costs. This is up 0.6 percentage points from the prior year.
Kroger's operating margin was 1.3% in fiscal year 2026, reflecting core business profitability. This is down 1.3 percentage points from the prior year.
Kroger's net profit margin was 0.7% in fiscal year 2026, showing the share of revenue converted to profit. This is down 1.1 percentage points from the prior year.
Kroger's ROE was 15.7% in fiscal year 2026, measuring profit generated per dollar of shareholder equity. This is down 29.3 percentage points from the prior year.
Capital Allocation
Kroger spent $2.7B on share buybacks in fiscal year 2026, returning capital to shareholders by reducing shares outstanding. This represents a decrease of 35.1% from the prior year.
Kroger invested $3.9B in capex in fiscal year 2026, funding long-term assets and infrastructure. This represents a decrease of 4.0% from the prior year.
KR Income Statement
| Metric | Q2'27 | Q4'26 | Q2'26 | Q1'26 | Q4'25 | Q2'25 | Q1'25 | Q4'24 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $46.1B+36.2% | $33.9B-25.0% | $45.1B | N/A | $33.6B-25.7% | $45.3B | N/A | $34.0B |
| Cost of Revenue | $35.5B+36.7% | $26.0B-24.9% | $34.6B | N/A | $25.9B-26.1% | $35.1B | N/A | $26.5B |
| Gross Profit | $10.6B+34.5% | $7.9B-25.2% | $10.6B | N/A | $7.7B-24.2% | $10.1B | N/A | $7.5B |
| R&D Expenses | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| SG&A Expenses | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Operating Income | $1.4B+191.3% | -$1.5B-216.6% | $1.3B | N/A | $828.0M-36.0% | $1.3B | N/A | $912.0M |
| Interest Expense | $3.0M | N/A | N/A | N/A | $84.0M-31.7% | $123.0M | N/A | $94.0M |
| Income Tax | $273.0M+157.5% | -$475.0M-302.1% | $235.0M | N/A | $187.0M-20.4% | $235.0M | N/A | $204.0M |
| Net Income | $903.0M+168.4% | -$1.3B-252.4% | $866.0M+36.6% | $634.0M+2.6% | $618.0M-34.7% | $947.0M+28.1% | $739.0M+14.4% | $646.0M |
| EPS (Diluted) | $1.46+172.3% | $-2.02-256.6% | $1.29 | N/A | $0.84-34.9% | $1.29 | N/A | $0.88 |
KR Balance Sheet
| Metric | Q2'27 | Q4'26 | Q2'26 | Q1'26 | Q4'25 | Q2'25 | Q1'25 | Q4'24 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $50.3B-2.2% | $51.4B-3.4% | $53.2B+1.2% | $52.6B-15.7% | $62.4B+21.0% | $51.6B+2.1% | $50.5B-1.0% | $51.0B |
| Current Assets | $14.2B-11.2% | $16.0B+1.5% | $15.8B+3.2% | $15.3B-39.0% | $25.0B+76.7% | $14.2B+9.4% | $12.9B-3.7% | $13.4B |
| Cash & Equivalents | $2.9B-27.4% | $4.0B-16.5% | $4.7B+19.7% | $4.0B-70.4% | $13.4B+369.4% | $2.8B+51.1% | $1.9B+9.2% | $1.7B |
| Inventory | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Accounts Receivable | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Goodwill | $2.6B-1.9% | $2.7B0.0% | $2.7B0.0% | $2.7B0.0% | $2.7B0.0% | $2.7B-8.3% | $2.9B0.0% | $2.9B |
| Total Liabilities | $43.8B-1.3% | $44.4B+0.1% | $44.3B0.0% | $44.3B-10.5% | $49.5B+26.4% | $39.2B+0.7% | $38.9B-2.3% | $39.8B |
| Current Liabilities | $18.0B-1.4% | $18.2B+9.6% | $16.6B+4.3% | $15.9B-2.1% | $16.3B-0.6% | $16.4B+2.0% | $16.1B-4.3% | $16.8B |
| Long-Term Debt | $14.5B-0.3% | $14.5B-5.1% | $15.3B-3.0% | $15.8B-23.2% | $20.6B+102.4% | $10.2B0.0% | $10.2B+0.2% | $10.1B |
| Total Equity | $6.5B-8.1% | $7.0B-21.0% | $8.9B+7.6% | $8.3B-35.8% | $12.9B+3.9% | $12.4B+6.9% | $11.6B+3.6% | $11.2B |
| Retained Earnings | $29.5B+4.7% | $28.2B-4.0% | $29.4B+2.3% | $28.7B+1.5% | $28.3B+2.2% | $27.7B+2.7% | $26.9B+2.0% | $26.4B |
KR Cash Flow Statement
| Metric | Q2'27 | Q4'26 | Q2'26 | Q1'26 | Q4'25 | Q2'25 | Q1'25 | Q4'24 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $1.8B+15.3% | $1.5B-28.4% | $2.1B+53.1% | $1.4B+25.1% | $1.1B-52.1% | $2.3B+22.0% | $1.9B+281.0% | $504.0M |
| Capital Expenditures | $1.3B+39.9% | $924.0M-11.5% | $1.0B+18.1% | $884.0M+1.0% | $875.0M-32.9% | $1.3B+30.8% | $997.0M+4.6% | $953.0M |
| Free Cash Flow | $481.0M-21.8% | $615.0M-44.3% | $1.1B+112.5% | $520.0M+110.5% | $247.0M-76.2% | $1.0B+12.5% | $923.0M+305.6% | -$449.0M |
| Investing Cash Flow | -$1.3B-17.5% | -$1.1B-2.8% | -$1.0B-25.8% | -$826.0M+7.3% | -$891.0M+12.1% | -$1.0B-0.9% | -$1.0B-5.8% | -$950.0M |
| Financing Cash Flow | -$980.0M-200.6% | -$326.0M+1.5% | -$331.0M+96.7% | -$10.0B-3293.5% | -$294.0M+15.5% | -$348.0M+54.0% | -$757.0M-204.0% | -$249.0M |
| Dividends Paid | $215.0M+1.9% | $211.0M0.0% | $211.0M-9.1% | $232.0M+10.5% | $210.0M0.0% | $210.0M0.0% | $210.0M0.0% | $210.0M |
| Share Buybacks | $213.0M+868.2% | $22.0M-87.8% | $181.0M-95.5% | $4.0B+30907.7% | $13.0M-87.4% | $103.0M+1187.5% | $8.0M+14.3% | $7.0M |
KR Financial Ratios
| Metric | Q2'27 | Q4'26 | Q2'26 | Q1'26 | Q4'25 | Q2'25 | Q1'25 | Q4'24 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 23.0%-0.3pp | 23.3%-0.1pp | 23.4% | N/A | 22.9%+0.4pp | 22.4% | N/A | 22.0% |
| Operating Margin | 3.0%+7.6pp | -4.5%-7.5pp | 2.9% | N/A | 2.5%-0.4pp | 2.9% | N/A | 2.7% |
| Net Margin | 2.0%+5.9pp | -3.9%-5.8pp | 1.9% | N/A | 1.8%-0.2pp | 2.1% | N/A | 1.9% |
| Return on Equity | 14.0%+32.7pp | -18.7%-28.5pp | 9.7%+2.1pp | 7.6%+2.9pp | 4.8%-2.8pp | 7.6%+1.3pp | 6.4%+0.6pp | 5.8% |
| Return on Assets | 1.8%+4.4pp | -2.6%-4.2pp | 1.6%+0.4pp | 1.2%+0.2pp | 1.0%-0.8pp | 1.8%+0.4pp | 1.5%+0.2pp | 1.3% |
| Current Ratio | 0.79-0.1 | 0.88-0.1 | 0.950.0 | 0.96-0.6 | 1.54+0.7 | 0.86+0.1 | 0.810.0 | 0.80 |
| Debt-to-Equity | 2.24+0.2 | 2.07+0.3 | 1.72-0.2 | 1.91+0.3 | 1.59+0.8 | 0.82-0.1 | 0.87-0.0 | 0.90 |
| FCF Margin | 1.0%-0.8pp | 1.8%-0.6pp | 2.5% | N/A | 0.7%-1.6pp | 2.3% | N/A | -1.3% |
Note: The current ratio is below 1.0 (0.79), indicating current liabilities exceed current assets, which may suggest potential short-term liquidity concerns.
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Frequently Asked Questions
What is Kroger's annual revenue?
Kroger (KR) reported $147.6B in total revenue for fiscal year 2026. This represents a 0.4% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Kroger's revenue growing?
Kroger (KR) revenue grew by 0.4% year-over-year, from $147.1B to $147.6B in fiscal year 2026.
Is Kroger profitable?
Yes, Kroger (KR) reported a net income of $1.0B in fiscal year 2026, with a net profit margin of 0.7%.
What is Kroger's EBITDA?
Kroger (KR) had EBITDA of $5.2B in fiscal year 2026, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Kroger have?
As of fiscal year 2026, Kroger (KR) had $2.9B in cash and equivalents against $14.5B in long-term debt.
What is Kroger's gross margin?
Kroger (KR) had a gross margin of 23.3% in fiscal year 2026, indicating the percentage of revenue retained after direct costs of goods sold.
What is Kroger's operating margin?
Kroger (KR) had an operating margin of 1.3% in fiscal year 2026, reflecting the profitability of core business operations before interest and taxes.
What is Kroger's net profit margin?
Kroger (KR) had a net profit margin of 0.7% in fiscal year 2026, representing the share of revenue converted into profit after all expenses.
Does Kroger pay dividends?
Yes, Kroger (KR) paid $1.37 per share in dividends during fiscal year 2026.
What is Kroger's return on equity (ROE)?
Kroger (KR) has a return on equity of 15.7% for fiscal year 2026, measuring how efficiently the company generates profit from shareholder equity.
What is Kroger's free cash flow?
Kroger (KR) generated $3.5B in free cash flow during fiscal year 2026. This represents a 94.5% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Kroger's operating cash flow?
Kroger (KR) generated $7.3B in operating cash flow during fiscal year 2026, representing cash generated from core business activities.
What are Kroger's total assets?
Kroger (KR) had $50.3B in total assets as of fiscal year 2026, including both current and long-term assets.
What are Kroger's capital expenditures?
Kroger (KR) invested $3.9B in capital expenditures during fiscal year 2026, funding long-term assets and infrastructure.
What is Kroger's current ratio?
Kroger (KR) had a current ratio of 0.79 as of fiscal year 2026, which is below 1.0, which may suggest potential liquidity concerns.
What is Kroger's debt-to-equity ratio?
Kroger (KR) had a debt-to-equity ratio of 2.24 as of fiscal year 2026, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Kroger's return on assets (ROA)?
Kroger (KR) had a return on assets of 2.0% for fiscal year 2026, measuring how efficiently the company uses its assets to generate profit.
What is Kroger's Altman Z-Score?
Kroger (KR) has an Altman Z-Score of 4.27, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Kroger's Piotroski F-Score?
Kroger (KR) has a Piotroski F-Score of 6 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Kroger's earnings high quality?
Kroger (KR) has an earnings quality ratio of 7.20x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
How financially healthy is Kroger?
Kroger (KR) scores 37 out of 100 on our Financial Health Score, indicating weak standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.