Albertsons sees drop in fresh produce sales as shoppers shift to cheaper staples amid tight budgets

Albertsons, a major U.S. grocery chain, reported a decline in fresh produce sales despite overall sales rising 3.5% in the latest fiscal year. This shift reflects consumers opting for longer-lasting, cheaper staples due to tight household budgets, impacting one of Albertsons' traditionally profitable sections. The company also faced a sharp drop in profits, with net income falling from $958.6 million to $217.4 million, and increased debt exceeding $8 billion. Additionally, Albertsons agreed to a $774 million settlement over opioid-related claims, increasing its reliance on pharmacy sales, which now make up 13.7% of total revenue, as the grocery business faces mounting pressures.