SFM reports a 16% jump in 4Q17 top line
Sprouts Farmers Market (SFM) reported a 16.1% YoY (year-over-year) rise in total sales to $1.1 billion during 4Q17. The organic and natural food retailer exceeded Wall Street’s expectations by $1 million. It outperformed consensus forecasts in all four quarters of 2017.
The company’s growth was driven by strong comps and a healthy performance in its new stores, both of which we’ll discuss in the next article.
“Sprouts’ position of strength continues to grow, demonstrated by 4.6% comparable store sales growth for the fourth quarter of 2017 and exceptional EPS growth of 22% for the year,” said Amin Maredia, the CEO of Sprouts Farmers Market.
For the full year, Sprouts’ sales rose 15.3% YoY to $4.7 billion. Investors looking to invest in SFM through ETFs can choose to invest in the iShares Morningstar Small-Cap Growth ETF (JKK). SFM has a weight of ~0.5% in JKK.
Supermarket giant Kroger’s (KR), which is expected to report its fourth-quarter results on March 8, 2018, is expected to post an 11% rise in its top line to $30.7 billion. The company is now among the top organic-produce-selling grocers in the country. It recently announced that it touched $1 billion in organic sales. According to market research company IRI, the US organic produce market had a value of $5 billion in 2016.
Wholesaler and retailer SuperValu’s (SVU) retail sales plunged for the tenth straight quarter after it reported its third-quarter results on January 10, 2018. Its retail sales fell 4.1% to $1.0 billion. However, its total sales rose 31.1% to $3.9 billion driven mostly by its recent acquisition of Unified Grocers.