In Monday's premarket, Albertsons stock was up 4.5% after a good second quarter led the company to improve its annual outlook and declare a bigger dividend.

For the quarter ended September 11, sales and other revenue increased by 4.4% to $16.5 billion. This was due to a 1.5% increase in comparable sales and greater fuel sales, according to the business.

Revenue and adjusted earnings per share of 52 cents per share exceeded expectations.Albertsons Joins IBM Food Trust Blockchain Network To Track Romaine Lettuce  From Farm To Store

Supply chain, product, and promotional expenditures were greater than a year ago, but efficiency gains and enhanced pharmacy margins associated with the administration of Covid-19 vaccinations offset the increases.

Higher pay and investments in digital and omnichannel capabilities offset lower Covid-related expenses.

After a blistering two-year run powered by the epidemic, digital sales growth slowed to 5%, but the company nonetheless hiked its quarterly payout by 20% to 12 cents per share.

The business now expects sales to decrease by 3% at the midpoint of its annual projection range, down from its previous estimate of a 5.5% loss. Adjusted EBITDA is now expected to be $4 billion in the middle of the range, up from the earlier expectation of $3.75 billion.