=Kroger (KR) reported earnings on Thur 15 June 2017 (b/o)

Kroger reports EPS in-line, beats on revs; lowers FY18 EPS below consensus:

• Reports Q1 (Apr) earnings of $0.58 per share, excluding non-recurring items, in-line with the Capital IQ Consensus of $0.58; revenues rose 4.9% year/year to $36.28 bln vs the $35.69 bln Capital IQ Consensus.
• Co issues lowered guidance for FY18, sees EPS of $2.00-2.05 from $2.21-2.25, excluding non-recurring items, vs. $2.19 Capital IQ Consensus Estimate.
• Gross margin was 22.1% of sales for the first quarter. Excluding fuel, ModernHEALTH and the LIFO charge, gross margin decreased 45 basis points from the same period last year.
• Guidance Details: Kroger continues to expect identical supermarket sales growth, excluding fuel, of flat to 1% growth for 2017. The company continues to expect capital investments excluding mergers, acquisitions and purchases of leased facilities, to be in the $3.2 to $3.5 billion range for 2017.