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Key Takeaways Albertsons cut fiscal 2026 guidance after weaker grocery demand and a first-quarter earnings miss.ACI is rolling out ACI Edge to simplify operations and improve execution across the business.ACI continues investing in digital, stores and shareholder returns despite near-term pressure. Albertsons Companies, Inc. (ACI - Free Report) entered fiscal 2026 with two clear strengths: digital sales growth and pharmacy resilience. Those positives were not enough to offset softer core grocery trends.

The first-quarter earnings shortfall, reduced outlook and launch of ACI Edge now frame fiscal 2026 as a reset year. The company is trying to move faster, sharpen value and improve store-level execution while protecting cash returns.

Albertsons’ Q1 Results Reveal the Core PressureNet sales and other revenues increased 0.2% year over year to $24.94 billion in the first quarter of fiscal 2026. Identical sales declined 0.8%, showing that reported sales growth was not supported by broad-based demand strength.

Adjusted earnings fell to 42 cents per share from 55 cents a year earlier. Digital sales increased 13%, and pharmacy remained a source of growth, but softer industry unit trends and a more cautious consumer weighed on core grocery performance.

ACI Edge Reshapes Albertsons’ Operating ModelACI Edge reduces Albertsons’ structure from 11 divisions to four regions and centralizes center-store merchandising under one enterprise team. The goal is to simplify operations and improve accountability.

The new model is designed to speed decision-making, strengthen banner consistency and better align supplier relationships with enterprise scale. The Kroger Co. (KR - Free Report) remains a relevant food-retail benchmark, as investors also watch how pricing, pharmacy and private-label execution shape supermarket demand. Walmart Inc. (WMT - Free Report) adds another competitive reference point, especially on value, where grocers must protect traffic without giving up too much margin.

Albertsons Cuts Its Fiscal 2026 OutlookAlbertsons now expects identical sales to decline 1.5% to 0.5% in fiscal 2026 compared with its prior expectation of flat to 1% growth. Adjusted EBITDA is projected to be in the range of $3.550 billion to $3.625 billion.

Adjusted earnings are now expected to be $1.75 to $1.85 per share, down from the prior $2.22 to $2.32 range. The revision reflects a decision to accelerate customer-value investments before expected productivity benefits fully materialize.

ACI Balances Reinvestment With Shareholder ReturnsAlbertsons spent $522.1 million on capital expenditures in the first quarter. That included 15 remodels, four new stores and continued investment in digital and technology platforms.

Shareholder returns remain part of the plan. The board raised the quarterly dividend 13% to 17 cents per share, while Albertsons repurchased 13.4 million shares for $226.5 million and had a $2.0-billion remaining authorization.

ACI Trades Near the Bottom of Its Valuation RangeACI trades at 5.33X forward 12-month earnings, close to its one-year low of 5.08X and well below its one-year median of 8.35X. That gap is large enough to draw attention from investors focused on depressed consumer staples names.

Image Source: Zacks Investment Research

The stock also trades at a deep discount to the Zacks sub-industry at 18.93X. Still, a low multiple does not automatically mean undervaluation. In ACI’s case, the market is also pricing in lower earnings visibility.

Albertsons’ Mixed Signals Favor Investor PatienceThe bottom line is that ACI’s reset carries both urgency and risk. Digital and pharmacy momentum show that the model still has productive assets, but weaker grocery units, lower guidance and investment pressure make fiscal 2026 harder to underwrite.

The stock currently carries a Zacks Rank #3 (Hold). It also has a Value Score of A, a Momentum Score of A and a VGM Score of A, alongside a Growth Score of C. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Those scores point to favorable valuation and market-characteristic signals, while the Growth Score reflects a more mixed earnings-growth profile. For now, ACI’s setup favors patience as investors wait for clearer evidence that ACI Edge can convert reinvestment into steadier sales and margin performance.

Albertsons® Companies, Inc. (NYSE: ACI) today announced a new regional operating model and the next step in its Merch United merchandising model, two connected changes designed to simplify how the company operates and position teams to respond more quickly to customer needs.

“We call it the ACI Edge. It combines the scale and capabilities of a national retailer with the accountability and local focus that have long distinguished our banners,” said Susan Morris, Chief Executive Officer of Albertsons Cos. “By consolidating 11 divisions into four regions and centralizing center store merchandising, we can make faster decisions, improve in-stocks and move accountability closer to our stores, where fresh, service and local execution matter most to customers.”

The new operating model will move the company from 11 divisions to four regions. Each region will include local markets focused on strengthening customer connections, supporting stores and driving results in their communities.

The California Region will include the Southern California and Northern California markets. The West Region will include the Mountain West, Portland and Seattle markets. The South Region will include the Southwest, Southern and United markets. The East Region will include the Jewel-Osco, Mid-Atlantic and Shaw’s markets.

The company is also advancing Merch United by centralizing center store merchandising, bringing customer insights, supplier relationships, strategy, product, placement, promotion and price under a single enterprise team while continuing to combine national scale with local expertise. Merch United combines the buying power, data and analytics of a national retailer with the customer focus and local insights of Albertsons Cos.' market teams.

“Center store centralization is an important next step in Merch United and in how we build a stronger, more connected merchandising organization,” said Michelle Larson, Executive Vice President and Chief Merchandising Officer of Albertsons Cos. “By bringing center store work together at the enterprise level, we can better leverage our scale, strengthen supplier partnerships and create more capacity for our regional and market teams to focus on fresh, local and the customer needs that make each community unique.”

Fresh merchandising decisions will remain in the markets and continue to be guided by the Merch United strategy, local customer preferences and market needs. Regional and market teams will continue to play an essential role in serving customers, supporting stores and delivering locally relevant experiences.

There are no plans to realign stores or districts as part of this transition. The company’s banners will continue serving customers with the local identity, history and community connections that have made them trusted shopping destinations.

Ultimately, these changes are intended to improve how Albertsons Cos. serves customers. A simpler operating structure, combined with the company's growing data and AI capabilities, will help teams respond more quickly to customer needs, improve in-stock performance and deliver a more consistent experience across stores and digital channels.

About Albertsons Companies

Albertsons Companies is a leading food and drug retailer in the United States. As of June 20, 2026, the Company operated 2,240 retail stores with 1,708 in-store pharmacies, 408 associated fuel centers, 22 dedicated distribution centers and 19 manufacturing facilities. The Company operates stores across 35 states and the District of Columbia under 22 well known banners including Albertsons, Safeway, Vons, Jewel-Osco, Shaw's, ACME, Tom Thumb, Randalls, United Supermarkets, Pavilions, Star Market, Haggen, Carrs, Kings Food Markets and Balducci's Food Lovers Market. The Company is committed to helping people across the country live better lives by making a meaningful difference, neighborhood by neighborhood. In 2025, along with the Albertsons Companies Foundation, the Company contributed $497 million in food and financial support, including $56 million through its Nourishing Neighbors Program, to ensure those living in its communities and those impacted by disasters have enough to eat.

Albertsons, Safeway, Vons, Jewel-Osco, Tom Thumb, Randalls, United Supermarkets, Pavilions, Haggen and Balducci's Food Lovers Market are registered trademarks of Albertsons Companies Inc. or its subsidiaries. ACME, Carrs, Kings Food Markets, Shaw's, and Star Market are trademarks of Albertsons Companies Inc. or its subsidiaries. Albertsons associated logos, product names and services are trademarks of Albertsons Companies, Inc. All other trademarks are the property of their respective owners.

Important Notice Regarding Forward-Looking Statements

This press release includes "forward-looking statements" within the meaning of the federal securities laws. The "forward-looking statements" include our current expectations, assumptions, perspectives and projections about our business and our industry. You can identify forward-looking statements by the use of words such as "outlook," "may," "should," "could," "estimates," "predicts," "potential," "continue," "anticipates," "believes," "plans," "expects," "future" and "intends" and similar expressions which are intended to identify forward-looking statements. The forward-looking statements are based on the Company’s current expectations and involve risks and uncertainties which are beyond our control and difficult to predict and could cause actual results to differ materially from the results expressed or implied by the statements. In evaluating our forward-looking statements, you should carefully consider the risks and uncertainties more fully described in the “Risk Factors” section or other sections in our reports filed with the SEC including the most recent annual report on Form 10-K and any subsequent periodic reports on Form 10-Q and current reports on Form 8-K and available at the SEC’s website at www.sec.gov.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260723720139/en/

Jul 14, 2026 4:00 PM Eastern Daylight Time

BOISE, Idaho--(BUSINESS WIRE)--Albertsons® Companies, Inc. (NYSE: ACI) (the “Company”) today announced its Board of Directors has declared a cash dividend for the second quarter of fiscal 2026 of $0.17 per share of common stock. The cash dividend is payable on Aug. 7, 2026, to stockholders of record as of the close of business on July 24, 2026.

About Albertsons Companies

Albertsons Companies is a leading food and drug retailer in the United States. As of Feb. 28, 2026, the Company operated 2,244 retail stores with 1,713 in-store pharmacies, 405 associated fuel centers, 22 dedicated distribution centers and 19 manufacturing facilities. The Company operates stores across 35 states and the District of Columbia under 22 well known banners including Albertsons, Safeway, Vons, Jewel-Osco, Shaw's, ACME, Tom Thumb, Randalls, United Supermarkets, Pavilions, Star Market, Haggen, Carrs, Kings Food Markets and Balducci's Food Lovers Market. The Company is committed to helping people across the country live better lives by making a meaningful difference, neighborhood by neighborhood. In 2025, along with the Albertsons Companies Foundation, the Company contributed $497 million in food and financial support, including $56 million through its Nourishing Neighbors Program to ensure those living in its communities and those impacted by disasters have enough to eat.

Albertsons, Safeway, Vons, Jewel-Osco, Tom Thumb, Randalls, United Supermarkets, Pavilions, Haggen and Balducci's Food Lovers Market are registered trademarks of Albertsons Companies Inc. or its subsidiaries. ACME, Carrs, Kings Food Markets, Shaw's and Star Market are trademarks of Albertsons Companies Inc. or its subsidiaries. Albertsons associated logos, product names and services are trademarks of Albertsons Companies, Inc. All other trademarks are the property of their respective owners.

Important Notice Regarding Forward-Looking Statements

This press release contains certain forward-looking statements. Statements that are not historical facts, including statements regarding the Company’s expectations, perspectives and projected financial performance, are forward-looking statements. The words “expect,” “believe,” “estimate,” “intend,” “plan” and similar expressions, when related to the Company and its subsidiaries, indicate forward-looking statements. The forward-looking statements are based on the Company’s current expectations and involve risks and uncertainties. The Company cautions that the risks and uncertainties could cause actual results to differ materially from those expressed or implied in the forward-looking statements. The Company also cautions that undue reliance should not be placed on any of the forward-looking statements, which speak only as of the date of this release. The Company undertakes no responsibility to update any of these forward-looking statements to reflect events or circumstances after the date of this report or to reflect actual outcomes. Certain potential factors that could affect our business and financial results and cause actual results to differ materially from those expressed or implied in any forward-looking statements are described in the “Risk Factors” section or other sections in our Annual Report on Form 10-K filed with the U.S. Securities and Exchange Commission (the “SEC”) on April 27, 2026, and in reports subsequently filed with the SEC and available at the SEC’s website at www.sec.gov.

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