Kroger has concluded its lengthy search for a permanent chief executive, appointing former Walmart executive Greg Foran to the role effective immediately. The company's shares climbed roughly 6% in premarket activity on the news.
Foran, who previously led Walmart's U.S. operations, joins Kroger's board and succeeds interim CEO Ron Sargent. Sargent will remain in his position as chairman of the board. The leadership change comes as Kroger navigates a competitive landscape marked by intense pressure on pricing and operational efficiency.
The new CEO brings a notable track record from his tenure at Walmart, where he was credited with overseeing a turnaround and delivering twenty consecutive quarters of comparable store sales growth. Kroger's board is banking on his deep operational experience to sharpen the company's focus on value and customer experience in a sector where consumer loyalty is increasingly fragile.
Kroger reaffirmed its existing financial guidance for fiscal 2025. The company stated that it will provide investors with further details regarding the leadership transition during its upcoming earnings conference call scheduled for March 5.
The appointment arrives at a critical juncture. Walmart continues to solidify its dominance in the U.S. grocery market, currently holding an estimated 21% share compared to Kroger's 8.5%. Kroger's attempted merger with Albertsons, aimed at bolstering its competitive scale, was blocked by regulators in 2024.
Analysts will be closely watching Foran's initial strategic moves, whether in pricing, store operations, or digital initiatives, for signals on how quickly he can implement change within the organization.
