Sprouts Farmers Market’s commitment to offering healthy, quality products continues to pay off, with the retailer enjoying strong performance in recent quarters. In the second quarter of 2024, the Phoenix-based company reported $1.9 billion in net sales, marking a 12% year-over-year increase. Comparable store sales grew by 6.7%.
Sprouts also saw its gross profit surge to over $718 million, up from over $625 million in Q2 2023. Adjusted EBITDA reached more than $160 million, a notable rise from last year’s figure of over $132 million.
“Sprouts saw outstanding second quarter results,” said Jack Sinclair, CEO of Sprouts Farmers Market. “Customers are responding to our healthy product assortment and our unique store experience. We are excited about the opportunities ahead.”
For the first half of the fiscal year, Sprouts achieved net sales of just over $3.7 billion, up from over $3.42 billion in Q2 2023. Gross profit for the same period stands at just over $2.33 billion, compared to over $2.14 billion last year.
Looking ahead, Sprouts projects comparable store sales growth of 3.5% to 4.5% for the third quarter. For the full year of 2024, net sales are expected to increase by 9% to 10%, with comparable store sales growth forecasted between 4% and 5%.
During the second quarter, Sprouts opened five new stores and plans to have 35 new locations operational by year’s end.
In May, the company’s board of directors authorized a new $600 million stock buyback program, replacing an earlier share repurchase authorization that had nearly $120 million remaining. This move reflects the company’s strong cash flow and the board’s confidence in Sprouts’ strategy and growth potential.
Additionally, Sprouts announced a new partnership with Klatch Coffee, with select California stores now featuring Klatch Coffee cafés. The first café opened over Memorial Day weekend in Fontana.
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