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Feb 22
Albertsons Q4 2024 Earnings Report
Albertsons reported Q4 2024 results with solid digital and pharmacy growth but a year-over-year decline in net income.
Key Takeaways
Albertsons posted Q4 revenue of $18.8B with adjusted EPS of $0.46. Despite growth in digital sales and loyalty members, net income decreased compared to Q4 2023.
Digital sales grew 24% year-over-year.
Net income was $172M, down from $250.5M in Q4 2023.
Adjusted EBITDA reached $855.1M.
Loyalty program grew to 45.6M members, a 15% increase.
Albertsons
Albertsons
Albertsons Revenue by Geographic Location
Forward Guidance
Albertsons expects FY25 to be an investment year, targeting modest identical sales growth and stable adjusted EBITDA.
Positive Outlook
- Expected identical sales growth of 1.5% to 2.5%
- Adjusted EBITDA projected between $3.8B and $3.9B
- Includes approximately $65M benefit from 53rd week
- Adjusted EPS forecasted at $2.03–$2.16
- Capital expenditures budgeted at $1.7B to $1.9B
Challenges Ahead
- FY25 will be an investment-heavy year
- Gross margin under pressure from lower-margin pharmacy growth
- Higher digital fulfillment costs impacting margins
- Ongoing merger-related expenses continue to weigh
- Uncertainty from legal and regulatory environment post-Kroger merger