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Kroger, one of America's largest grocery chains, has announced that it will open 30 new stores in 2025, even as it plans to close 60 stores that are underperforming.

The company is focused on getting stronger by expanding in areas with more customer growth and closing stores that no longer make good profits.

Speaking to investors last week, interim CEO Ron Sargent said Kroger is not slowing down. "Building out that footprint is an important piece of what we do," he explained. "The two go hand in hand—digital and additional physical footprint."

Kroger's new stores will mostly be in high-growth neighborhoods. These stores are expected to be larger formats like the Kroger Marketplace, which compete with retailers like Walmart.

This is part of a bigger strategy to boost long-term profits by attracting more families and increasing shopper loyalty.

While the 60 store closures will happen gradually over the next 18 months, they are not expected to hurt Kroger's finances in a big way, FDI said.

These locations were already struggling, and Kroger wants to focus on places where it can grow.

Kroger Sees Online Sales Jump 15% Amid Mixed Q1 Results

Kroger's recent financial report showed mixed results. The company's net income was slightly down, but e-commerce sales went up by 15%.

People are shopping more online, and Kroger is investing in services like delivery and store pickup.

The company also raised its sales forecast for the rest of the year, thanks to strong performance in fresh foods, pharmacy, and digital shopping.

According to The Sun, even with rising costs for items like eggs, interim CFO Todd Foley said they're working hard to keep prices steady. "We expect inflation to be about 1.5% to 2% in 2025," he said.

Kroger is also keeping a close eye on changes to SNAP, the food assistance program, which could impact many shoppers.

Sargent said when SNAP funding drops, customers tend to focus on essentials like produce and meat. That's where Kroger plans to keep its prices most competitive.

In the middle of all this, the company is also searching for a new permanent CEO, after Rodney McMullen stepped down following an internal investigation.