Grocery chain Albertsons has reported steady second-quarter results, with CEO Susan Morris attributing the performance to strong digital growth.

For the 12 weeks that ended September 6, net income rose to $169 million, up from $145 million a year earlier. Meanwhile, net sales and other revenue increased 2 per cent to $18.9 billion.

Adjusted net income stood at $248 million, while adjusted EBITDA (earnings before interest, taxes, depreciation, and amortisation) totalled $848 million

Identical sales climbed 2.2 per cent, and digital sales surged 23 per cent, reflecting gains across the retailer’s omnichannel and pharmacy businesses.

“In the second quarter, we delivered solid operating and financial results while continuing to invest in our core business and elevate the customer experience,” Morris said.

“Strong performance against our strategic priorities fueled deeper engagement across our digital platforms, resulting in outsized growth in digital sales, pharmacy, and loyalty membership.”

Albertsons said its productivity initiatives have helped offset inflationary pressures and supported reinvestment in areas such as fresh food and omnichannel convenience.

During the first 28 weeks of the fiscal year, the company invested $950 million in capital expenditures, completing 51 store remodels, opening three new stores, and enhancing its digital and technology platforms.

The retailer also repurchased 25.7 million shares for $550 million and announced a $750 million accelerated share repurchase programme with JPMorgan Chase Bank.

Looking ahead, Albertsons expects identical sales growth between 2.2 and 2.75 per cent and adjusted EBITDA between $3.8 billion and $3.9 billion for the whole year.

“As we look ahead, it is a new day at Albertsons,” Morris added.

“We’re operating from a position of strength, taking bold action, and leading transformative change with confidence.”