Kroger compensates Ocado with US$350 million and scales back robotic warehouses

Featured image of the article Kroger compensates Ocado with US$350 million and scales back robotic warehouses

An article by Morgane Monteiro and Sophie Baqué

Publication

12 December 2025 à 16h13

Updated on 22 December 2025 à 13h14

Reading time

2 minutes

Publication: 12 December 2025 à 16h13, Updated on 22 December 2025 à 13h14

Reading time: 2 minutes

After improving net margin in 2024, Kroger is closing several automated Ocado warehouses. The strategy is to strengthen in-store picking and delivery partnerships with DoorDash Instacart and Uber Eats.

An article by Morgane Monteiro and Sophie Baqué

Publication

12 December 2025 à 16h13

Updated on 22 December 2025 à 13h14

Reading time

2 minutes

Publication: 12 December 2025 à 16h13, Updated on 22 December 2025 à 13h14

Reading time: 2 minutes

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In January 2026, British robotic warehouse specialist Ocado (2024 revenue: US$4.1 billion up by 14.1%) will receive US$350 million in compensation from Kroger. This follows an announcement in November by the world’s fourth-largest food retailer (2024 revenue: US$147 billion up by 1.5%), which decided to close 3 of the 8 warehouses using Ocado services. According to Interim C.E.O. Ron Sargent, these sites “did not meet operational and financial targets” and will close by the end of January 2026.

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Article authors

Featured image of the article Morgane Monteiro

Morgane Monteiro Journalist

Featured image of the article Morgane Monteiro

Journaliste économique pour mind Retail depuis 2024, j’analyse la transformation digitale du commerce.

Featured image of the article Sophie Baqué

Sophie Baqué

Featured image of the article Sophie Baqué

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