How did Albertson's revenue and expenses perform in Q3 2025 compared to previous quarters?

**Albertsons' Revenue and Expenses Performance in Q3 2025**:

1. **Revenue Performance**:
- Albertsons reported a third-quarter revenue of $18.77 billion for Q3 2025.
- This represents a 1.2% increase year-over-year, reaching slightly above the consensus estimate of $18.79 billion.
- Identical sales contributed significantly to this growth, rising by 2% year-over-year.
2. **Expense Performance**:
- The company's gross profit margin stood at 27.9%, matching expectations but slightly below the previous year's 28%.
- Adjusted EBITDA was reported at $1.07 billion for the quarter, indicating a 3.7% decrease year-over-year.
- Selling and administrative expenses rose to 25.1% of net sales and other revenue, up from 24.8%.
3. **Comparative Analysis**:
- Q3 2025 revenue outpaced Q3 2023 revenue, which was $18,557.3 million.
- Gross profit margin contracted year-over-year, primarily due to lower-margin pharmacy sales and increased costs associated with digital sales.
- Adjusted EBITDA decreased from $1.02 billion in Q3 2023 to $1.07 billion in Q3 2025.
4. **Trends and Insights**:
- Digital sales surged by 23% year-over-year, reaching $2,282.8 million, driven by home delivery and curbside pickup services.
- Pharmacy sales soared by 32.4% year-over-year, reaching $2,282.8 million.
- The company's net income increased to $400.6 million, up from $361.4 million in the same quarter last year.

In conclusion, Albertsons' Q3 2025 revenue showed resilience with a slight beat, driven by strong pharmacy and digital sales, despite a marginal decline in gross margin and EBITDA.