The Kroger Co. (NYSE: KR) reported net earnings of $2.0 billion, or $2.37 per diluted share, in the first quarter of 2018, which ended on May 26. Kroger's first quarter adjusted net earnings were $626 million, or $0.73 per diluted share.
A news release issued Thursday reported that net earnings for the first quarter 2017 were $303 million, or $0.32 per diluted share. Adjusted net earnings for the first quarter 2017 were $546 million, or $0.58 per diluted share.
Kroger's first quarter net earnings per diluted share result was slightly ahead of the company's internal expectations due to the great start to Restock Kroger, including process changes that led to especially strong cost controls and alternative revenue streams.
CEO Rodney McMullen declared "Restock Kroger is off to a fantastic start. Everything we do supports our customers engaging seamlessly with Kroger. Kroger is creating the future of retail by innovating our core business and adding exciting partnerships like Ocado and our planned merger with Home Chef.
"We are on track to generate the free cash flow and incremental FIFO operating profit that we committed to in Restock Kroger. We are confident in our ability to deliver on our plans for the year and our long-term vision to serve America through food inspiration and uplift."
Total sales increased 3.4% to $37.5 billion in the first quarter compared to $36.3 billion for the same period last year. Total sales, excluding fuel, increased 2.3% in the first quarter over the same period last year.
Shares in Kroger jumped $2.38, or 9.1%, to $28.56 early Thursday morning.
