Supermarket operator Kroger (US:KR) said its second quarter earnings topped analysts' estimates as consumers bought more of its private label products. It said the trend is likely to continue, prompting it to raise its outlook.

 Despite inflationary pressures impacting discretionary retailers, Kroger delighted Wall Street with robust top and bottom line results. Adjusted for nonrecurring items, Koger earned 90 cents a share versus 80 cents a year ago.

Kroger rang up $34.6 billion in second quarter revenue, besting year ago sales of $31.7 billion by 5.2%, excluding fuel.

Kroger shares rose 7.4% on Friday.

Analysts polled by Zacks Equity Research generated an adjusted EPS estimate of 84 cents  ahead of the release. The same analysts expected the company to post $34.4 billion in revenue.

Kroger also upgraded expectations for the full year. The company noted in its earnings announcement that it expects "identical sales without fuel to be in the range of 4.0% to 4.5% and adjusted net earnings per diluted share in the range of $3.95 to $4.05."

Zacks noted that previously, the grocer had guided investors to expect "identical sales without fuel in the bracket of 2.5-3.5," In addition, it "had previously estimated earnings between $3.85 and $3.95 per share."

Kroger's store-branded products highlighted the company's quarter, and their sales jumped d10.2%.

"Kroger delivered strong second quarter results propelled by our Leading with Fresh and Accelerating with Digital strategy. We are incredibly thankful for our dedicated associates who continue to deliver a full, fresh and friendly customer experience," said chairman and CEO Rodney McMullen. "Our consistent performance underscores the resiliency and flexibility of our business model."