Kroger Enjoys Immense Scale, but Tough Competitive Landscape Likely to Constrain Profit Growth

With over 2,700 locations across the United States and a portfolio of over 20 different banners, no-moat Kroger is one of the nation’s leading grocery retailers. It built its vast footprint through expansion of its namesake banner along with numerous acquisitions of competing chains, giving it an ingrained presence in many US communities. Considering this, an immense top line (nearly $150 billion in fiscal 2024) that brings a strong standing with suppliers, and its loyalty membership program, Kroger’s competitive standing appears enviable at first glance.