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Oct 03, 2021

Sprouts Q3 2021 Earnings Report

Reported a decrease in net sales but an increase in net income compared to the same period in 2020.

Key Takeaways

Sprouts Farmers Market reported a decrease in net sales by 4% but an increase in net income compared to the same period in 2020. Diluted earnings per share increased to $0.56 compared to $0.51 in the same period in 2020. The company opened three new stores and had one relocation during the quarter, resulting in a total of 366 stores in 23 states.

Net sales were $1.5 billion, a 4% decrease from the same period in 2020.

Comparable store sales growth was -5.4%.

Net income was $64 million, compared to $60 million for the same period in 2020.

Diluted earnings per share was $0.56, compared to $0.51 for the same period in 2020.

Total Revenue
$1.51B
Previous year: $1.58B
-4.3%
EPS
$0.56
Previous year: $0.52
+7.7%
Comparable Store Sales Growth
-5.4%
Previous year: 4.2%
-228.6%
Gross Profit
$540M
Previous year: $585M
-7.7%
Cash and Equivalents
$260M
Previous year: $138M
+88.6%

Sprouts

Sprouts

Forward Guidance

Sprouts has adjusted its fiscal 2021 outlook and added a fourth quarter outlook, reflecting year-to-date performance and expectations for the remainder of the year.

Positive Outlook

  • Net sales are expected to be $1,450M - $1,475M for the fourth quarter of 2021.
  • Comparable store sales growth is expected to be between -3% and -5% for the fourth quarter of 2021.
  • 9 new stores are expected to open in the fourth quarter of 2021.
  • Effective tax rate is expected to be approximately 24%.
  • Adjusted diluted earnings per share: $0.26 to $0.30