Albertsons Reports Strong Sales Growth and Financial Performance

By Tamara Parker • Tuesday, April 15 15:20 • Permanent Link

Albertsons Companies, Inc. has reported its fourth quarter and full-year results for fiscal 2024. In the fourth quarter of fiscal 2024, identical sales increased by 2.3%, with digital sales also seeing a significant 24% increase. The company saw a 15% rise in loyalty members, bringing the total to 45.6 million.

In terms of financial performance, the net income for the fourth quarter was $172 million, or $0.29 per share. Adjusted net income stood at $270 million, or $0.46 per share, while adjusted EBITDA was reported at $855 million.

For the entire fiscal year 2024, identical sales increased by 2.0%, with digital sales mirroring the fourth quarter's growth at 24%. The net income for fiscal 2024 was $959 million, or $1.64 per share, while adjusted net income was $1,382 million, or $2.34 per share. The adjusted EBITDA for the full year was $4,005 million.

The company has stated that the growth in pharmacy sales was the primary driver of identical sales increase, while also acknowledging the impact of increased delivery and handling costs related to the 24% growth in digital sales.

Looking ahead, the company has provided its fiscal 2025 outlook, with identical sales growth projected in the range of 1.5% to 2.5%, and adjusted EBITDA in the range of $3.8 billion to $3.9 billion. Additionally, the company announced an increase in the quarterly cash dividend and a share repurchase program of up to $2.0 billion of the company's common stock.

The company also made significant investments in its core business during fiscal 2024, including the completion of 127 remodels, the opening of 11 new stores, and continued investment in its digital and technology platforms.

Vivek Sankaran, CEO, expressed confidence in the company's future growth and value creation for shareholders, while Susan Morris, COO and incoming CEO, highlighted the support of the company's 285,000 associates in driving its transformational strategy forward.

Today the company's shares have moved -8.0% to a price of $19.84. For the full picture, make sure to review Albertsons's 8-K report.

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