Kroger Co. (KR) shares were climbing in trading Thursday in spite of the fact that the grocer's profit fell year over year and same-store sales fell short of Wall Street expectations.
Kroger is up 0.6% Thursday.
The company reported third-quarter earnings of $317 million, or 48 cents a share on an adjusted basis, a nickel better than the 43 cents analysts were expecting. Kroger said it expects full-year earnings between $2 and $2.15 per share.
Kroger also reported revenue of $27.67 billion, a 0.3% year-over-year decrease, that was ahead of analysts' $27.56 billion expectations. The company reported a 60% year-over-year increase in digital sales.
However, the company's same-store sales only increased 1.6%, short of analysts' 1.65% expectations.
"Kroger is transforming our business model. We're moving from a traditional grocer to a growth company with both a strong customer ecosystem that offers anything, anytime, anywhere, and asset-light, high-margin alternative partnerships and services. Restock Kroger is the blueprint for this transformation," CEO Rodney McMullen said.