Publix sales rise 1%; comparable-store sales fall 0.6%

By Nathan Brooks

Publix reported Monday that sales rose 1% year over year to $15.5 billion in its third quarter ended Sept. 26, while comparable-store sales fell 0.6%, extending the slowdown to a fifth consecutive quarter.

The Florida-based grocer also reported net earnings of $1.1 billion for the quarter, down less than 10% from a year earlier. One percent sales growth is growth by the thinnest possible margin. The comp line moved the wrong way.

Publix said reduced drug prices tied to the federal Inflation Reduction Act and shifts in consumer spending led to the sluggish sales. Since mid-2025, the chain has faced continuing price sensitivity among consumers and depressed drug sales linked to a change in Medicare maximum fair pricing.

“We know many of our customers are feeling the effects of a challenging economy,” Publix CEO Kevin Murphy said in a statement.

The quarter’s 1% sales increase compares with a 7.3% increase in the second quarter of fiscal 2025. That is a 6.3-percentage-point deceleration. The gap matters more than the headline.

What does this change for Publix?

The immediate issue is sales mix. Lower drug prices tied to the Inflation Reduction Act can reduce reported sales even when prescription volumes hold. Changes in household spending can do the same thing. Publix’s explanation places public-policy pressure and consumer caution in the same quarter.

During Q3, Publix joined the Medicare GLP-1 Bridge program, a temporary federal assistance initiative that lets eligible Medicare enrollees access select weight-loss medications for a $50 monthly copayment. Publix announced in late July that its pharmacies were participating. The program runs through Dec. 31, 2027.

For Publix, the program expands its pharmacy offer while the lower-price drug environment weighs on the sales line. The trade-off is concrete: eligible Medicare enrollees can obtain select weight-loss drugs for a $50 monthly copayment, while lower prices pull down sales for medicines Publix already sells. A 1% sales increase should not be read as a simple verdict on store performance.

Store investment continued despite the comp pressure. In a Securities and Exchange Commission filing, Publix said it opened 23 stores, remodeled 78 and closed 12 during the nine-month period ended Sept. 26. In early October, the grocer opened its 10th store in Kentucky. Kentucky is its newest expansion state.

Dive reported that Publix’s private share price fell from $19.60 to $18.70 on Sunday, a 90-cent decline. Publix does not trade publicly; only its workers or board members can buy the stock. That makes the quote a private valuation marker rather than a broad market referendum.

Going forward, Publix must convert its expanding store base into stronger comparable sales while its pharmacy mix resets around lower drug prices. Expansion continued. The private valuation went the other way.