TEXAS – Kroger Co. announced Friday its plan to close 60 underperforming grocery stores over the next 18 months.
The company said the decision comes as part of ongoing efforts to streamline operations and enhance customer experiences amid a challenging economic environment.
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The announcement was made during Kroger’s first-quarter earnings call, where the company reported solid sales growth despite the impending closures. In the first quarter of 2025, Kroger recorded a 3.2% increase in identical-store sales, excluding fuel, and a total sales figure of $45.1 billion.
Kroger’s interim chairman and CEO, Ron Sargent, said the closures would not affect the company’s overall financial guidance for the year.
“While we are closing these stores, we are committed to reinvesting the savings back into improving the customer experience,” Sargent stated.
He reassured employees that those affected by the closures would be offered positions at other Kroger locations.
The decision to close stores follows a period of evaluation that was paused during Kroger’s failed merger attempt with Albertsons last year. As the company seeks to rebound from the setback, it is also focusing on an aggressive remodeling and new-store opening strategy, with plans for 30 major store projects in 2025.