Arizona-based Sprouts Farmers Market stock price reaches all-time high in August behind strong Q2 report
Photographer: Patrick T. Fallon/Bloomberg via Getty Images
PHOENIX - Arizona-based Sprouts Farmers Market has defied most market trends this past month as the company's stock price reached an all-time high on Aug. 1.
Sprouts CFO Curtis Valentine summed up the successful month in plain and simple terms:
"Everything worked in the second quarter," he said in a statement to FOX 10.
"We had an early produce season and a strong start to the summer. Our teams are doing a great job at executing our strategy, and it resonates with our target customers."
Sprouts is known as a natural and organic food store that also provides a variety of household items.
"We have a carefully curated selection of products and a unique shopping experience that appeals to our health-focused customers," Valentine said.
"We focus everything we do on the needs of these customers. Our products have healthy attributes, such as being organic, gluten-free, plant-based and grass-fed. Our in-store team members are helpful and attentive to provide great customer service."
Sprouts thriving on impressive second quarter results
The company's stock price climbed to the $100 price-per-share mark on Aug. 1 thanks to better-than-expected second quarter earnings.
Sprouts net sales were $60 million higher than expected and the company opened five new stores in the quarter.
"Our second quarter results were impressive," said Valentine. "The company's sales performance was strong across all categories and in all markets and the street recognized the excellent work from the team and the progress we're making on our strategy."
All of this growth and progress comes at a tumultuous time for industries impacted by inflation, in particular the grocery business.
Sprouts has seemed to thrive despite a recent listeria outbreak and instability in the grocery market amid the on-again, off-again potential merger between two of the industry's largest brands, Kroger and Albertson's.
Valentine, however, sees Sprouts as complementary to those giant brands and not as a direct competitor.
"We've matured as a business"
"Inflation has been a challenge for most businesses and we're no different. We have stayed focused on serving our customers who love our unique products that help support their healthy habits," Valentine said.
"Additionally, as we've matured as a business, we've found efficiencies and improvements that have allowed us to manage rising costs and continue to invest in our team members through wages, training and benefits."
According to a report by Zippia, Sprouts employs the fifth-most Arizona-based employees by any company headquartered in Arizona.
Being a local company is important to Sprouts and Valentine.
"We take immense pride in being rooted in Arizona and representing our state on a national stage. We have a strong company culture and are thrilled about the potential for further growth in our business. We are excited for the future of Sprouts, and we are grateful for the support from the state of Arizona and all the Arizonans in the local communities we serve," he said.
According to ScrapeHero, Sprouts has 46 stores in Arizona, making up 11% of its total stores in the country. There is one Sprouts store for every 158.2 thousand people in the Grand Canyon State.
The company also stores in 23 states, including 140 stores in California, 52 in Texas and 45 in Florida.