The announcement came after declining profits in the first quarter
of ConsumerAffairs-
Kroger plans to close 60 stores over the next 18 months to improve operational efficiency.
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Employees from affected locations will be offered positions at other stores, as part of the companys commitment to minimizing disruption amid the restructuring.
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Despite a dip in overall sales and profits, Kroger saw a 3.7% rise in specialty pharmacy and adjusted item sales in Q1 2025.
Kroger has announced plans to close approximately 60 stores over the next 18 months to streamline operations and improve efficiency. However, the company has not released a comprehensive list of the affected locations. As of now, only a few specific store closures have been publicly confirmed:
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Belle Meade Plaza, Nashville, Tenn: This store closed on January 31, 2025, following the sale of the shopping center.
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Sterling Ridge Village, The Woodlands, Texas: Closed on May 6, 2025, after 25 years in operation.
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3410 Gulf Freeway in Dickinson, Texas: Closed on June 10, 2025, after 45 years of service.
While these closures have been confirmed, the full list of the 60 stores slated for closure will be release at a future time. Kroger has stated that employees at affected locations will be offered roles at other stores.
The closures are part of Kroger's broader strategy to enhance operational efficiency and focus on areas with stronger growth potential.
"Unfortunately, today, not all of our stores are delivering the sustainable results we need, said Interim CEO Ron Sargent, in a statement accompanying the announcement. We don't take these decisions lightly, but this will make the company more efficient."
Hit to the bottom line
During its first-quarter earnings announcement, Kroger reported a net income of $866 million for the first quarter, down from $947 million the previous year. Total sales slightly decreased to $45.1 billion from $45.3 billion.
But despite these declines, the company said it achieved a 3.7% increase in sales from its specialty pharmacy and adjusted items, excluding fuel.
Posted: 2025-06-23 13:48:28
