On October 31, 2023, Sprouts Farmers Market Inc (SFM, Financial) reported its financial results for the 13-week third quarter ended October 1, 2023. The company's net sales for the quarter totaled $1.7 billion, marking a 7.6% increase from the same period in 2022. The growth in sales was driven by a 3.9% increase in comparable store sales.
Financial Highlights
The company reported diluted earnings per share of $0.64, compared to $0.61 in the same period in 2022. Adjusted diluted earnings per share stood at $0.65. The company ended the quarter with $252 million in cash and cash equivalents and a $150 million balance on its $700 million revolving credit facility. During the quarter, the company repurchased 831 thousand shares of common stock for a total investment of $32 million.
Store Expansion and Operational Highlights
Sprouts Farmers Market Inc (SFM, Financial) continued its expansion strategy by opening 10 new stores during the quarter, bringing the total to 401 stores in 23 states as of October 1, 2023. The company's CEO, Jack Sinclair, expressed satisfaction with the quarter's results, attributing the success to the alignment of the company's 31,000 team members across various initiatives.
Financial Tables Summary
The company's consolidated statements of income showed a net income of $65,313 for the thirteen weeks ended October 1, 2023, compared to $65,740 for the same period in 2022. The consolidated balance sheets showed total assets of $3,290,508 as of October 1, 2023, compared to $3,070,380 as of January 1, 2023. The consolidated statements of cash flows showed net cash provided by operating activities of $409,025 for the thirty-nine weeks ended October 1, 2023.
Outlook for Q4 and Full-Year 2023
For the fourth quarter of 2023, the company expects comparable store sales growth of approximately 3% and adjusted diluted earnings per share of $0.42 to $0.46. For the full year 2023, the company projects net sales growth of 6.5% to 7%, comparable store sales growth of approximately 3%, and adjusted diluted earnings per share of $2.77 to $2.81.
Explore the complete 8-K earnings release (here) from Sprouts Farmers Market Inc for further details.
