=Kroger (KR) reported earnings on Thur 30 Nov 2017 (b/o)

Kroger beats by $0.04, reports revs in-line; reaffirms FY18 EPS guidance; Q3 comps +1.1%; sees Q4 comps exceeding +1.1%; provides FY19 guidance commentary 

• Reports Q3 (Oct) earnings of $0.44 per share, $0.04 better thanthe Capital IQ Consensus of $0.40; revenues rose 4.5% year/year to $27.75 bln vs the $27.48 bln Capital IQ Consensus. 
• Co reports Q3 identical supermarket sales growth, without fuel, was 1.1% in the third quarter of 2017.
• Gross margin was 22.4% of sales for the third quarter. Excluding fuel, ModernHEALTH and the LIFO charge, gross margin increased 30 basis points from the same period last year.
• Lower cost of goods and sales mix more than offset continued price investments. Gross margin was 22.4% of sales for the third quarter.
• Excluding fuel, ModernHEALTH and the LIFO charge, gross margin increased 30 basis points from the same period last year.
• Co reaffirms guidance for FY18, sees EPS of $2.00-2.05, excluding non-recurring items, vs. $1.97 Capital IQ Consensus Estimate. Guidance: Kroger expects fourth quarter identical supermarket sales growth, excluding fuel, to exceed 1.1%. The company expects capital investments excluding mergers, acquisitions and purchases of leased facilities, to be approximately $3.0 billion for 2017.
• FY19 Guidance: "We are striving for net earnings per diluted share to be flat to slight growth from 52-week 2017 adjusted results. We are not seeing anything that would cause us to be below $1.80. We expect capital investments, excluding mergers, acquisitions and purchases of leased facilities, to be approximately $3.0 billion. We expect the full year identical supermarket sales growth, excluding fuel, to be stronger than 2017." (FY19 Capital IQ consensus: $1.95).