(Reuters) – Kroger Co raised its full-year profit forecast on Thursday, boosted by a sustained demand for groceries as the pandemic-induced boom in at-home cooking persists, sending shares up 4% in premarket trade.
The Pandemic-led trend of cooking at home continues even as virus restrictions have eased, keeping sales at grocery chains that benefited during last year’s lockdowns elevated.
A rise in U.S. COVID-19 cases during the third quarter also boosted sales at grocers, with some like Costco Wholesale Corp forced to reinstate limits on purchases of items including tissues, roll towels and bottled water, as consumers resumed hoarding goods.
Kroger said it expects full-year adjusted earnings per share of $3.40 to $3.50, compared with its prior forecast of $3.25 to $3.35.
The company said it expects full-year same-store sales to dip 0.2% to 0.4%, compared with its prior forecast of a fall of 1% to 1.5%.
(Reporting by Uday Sampath and Ananya Mariam Rajesh in Bengaluru; Editing by Vinay Dwivedi)
