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Kroger's Financial Analysis

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I chose to analyze Kroger’s for my discussion as I felt quiet interesting when doing research about the performance of today’s grocery industry.
Founded in 1883 as a small grocery store and has grown to become the largest supermarket operator in the US. It operates more than 2,600 supermarket stores, 782 convenience stores, and 326 fine jewelry stores.
It flourished by itself by diversified products in its stores in all directions. It currently sells thousands of grocery items, as well as gas and pharmacy products. Kroger operates 37 food-processing facilities that supply 40% of the corporate brands sold at its stores.
On analyzing the financial performance, The Company has achieved a five-year CAGR (compounded annual growth rate) of 7.2% in …show more content…

The three broad formats are supermarkets, convenience stores, and jewelry stores. Supermarkets are Kroger’s primary business segment. In fiscal 2015, which ended on January 31, 2015, the company’s 2,625 supermarkets accounted for 93% of its total revenue. Kroger operates 782 convenience stores. In fiscal 2015, the convenience store (or C-store) business accounted for 5% of Kroger’s total sales, with gasoline sales representing ~75% of total C-Store sales. The company operates its convenience stores under five banners: Kwik Shop, Loaf ‘N Jug, Quik Stop, Tom Thumb, and Turkey Hill Minit …show more content…

One of the mergers was with Vitacost.com, a leading online retailer in the nutrition and healthy living market. The other important merger in the technology space was with You Technology, a leader in digital coupons and promotions. To improve customers’ shopping convenience and frequency in order to improve their sales and stay competitive. Companies are expanding their prepared food and to-go offerings. Online ordering expects to rise as it appeals to retailers’ convenience-seeking customers. According to data from Brick Meets Click, online grocery sales as a percentage of total grocery sales is expected to increase from 4% in 2014 to 11%–17% in

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