US Stock Market Move | Q3 store sales are lower than expected. Kroger Co. (KR.US) drops more than 4%.

On Thursday, after the release of the latest Q3 financial report, Kroger Co. (KR.US), the American supermarket giant, saw its stock price drop by over 4% to $63.42 due to slightly lower-than-expected same-store sales growth. The financial report showed that Kroger Co.'s same-store sales growth excluding fuel increased by 2.6% year-on-year, lower than the Wall Street expectation of 2.9%. However, the company's profit performance was solid, with adjusted FIFO operating profit reaching $1.09 billion, higher than the $1.02 billion in the same period last year. Earnings per share (EPS) were $1.05, surpassing the market expectation of $1.03 and higher than the $0.98 in the same period last year. The gross margin performance was impressive, with the overall gross margin for the quarter rising to 22.8%, compared to 22.4% in the same period last year. Excluding rent, depreciation, amortization, and fuel, the FIFO gross margin increased by 49 basis points year-on-year.