Arizona-based Sprouts Farmers Market shares hit all-time high in August after strong Q2 report

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Photographer: Patrick T. Fallon/Bloomberg via Getty Images

PHOENIX – Arizona-based Sprouts Farmers Market has bucked most market trends over the past month, with the company's stock price hitting an all-time high on August 1.

Curtis Valentine, CFO of Sprouts, summed up the successful month in simple terms:

“Everything worked out in the second quarter,” he said in a statement to FOX 10.

“We had an early harvest season and a strong start to the summer. Our teams are doing an excellent job executing our strategy and it is resonating well with our target customers.”

Sprouts is known as a natural and organic grocery store that also offers a variety of household items.

“We have a carefully curated product selection and a unique shopping experience that appeals to our health-conscious customers,” said Valentine.

“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 team members in the store are helpful and attentive to provide excellent customer service.”

Sprouts thrives thanks to impressive second-quarter results

Thanks to better-than-expected earnings in the second quarter, the company's stock price rose to $100 per share on August 1.

Sprout's net sales were $60 million higher than expected and the company opened five new stores during the quarter.

“Our second quarter results were impressive,” Valentine said. “The company's sales were strong across all categories and markets, and the Street recognized the team's excellent work and the progress we are making in executing our strategy.”

All this growth and progress comes at a turbulent time for industries affected by inflation, especially the food retail sector.

Sprouts appears to be thriving despite a recent listeria outbreak and instability in the grocery market amid a much-hyped potential merger between two of the industry's biggest brands, Kroger and Albertson's.

However, Valentine sees Sprouts as a complement to these big brands and not a direct competitor.

“We have matured as a company”

“Inflation has been a challenge for most companies and we are no exception. We have focused on serving our customers who love our unique products that support their healthy habits,” said Valentine.

“In addition, as our business has evolved, we have seen efficiencies and improvements that have enabled us to manage rising costs and continue to invest in our team members through salaries, training and benefits.”

According to a report by Zippia, Sprouts employs the fifth most Arizona-based employees of any company headquartered in Arizona.

For Sprouts and Valentine, being a local business is important.

“We are immensely proud to have our roots in Arizona and to represent our state nationally. We have a strong company culture and are excited about the potential for continued growth of our company. We are excited about the future of Sprouts and are grateful for the support of the state of Arizona and all Arizonans in the communities we serve,” he said.

According to ScrapeHero, Sprouts has 46 stores in Arizona, which represents 11% of all stores in the country. In the Grand Canyon State, there is one Sprouts store for every 158,200 residents.

The company also operates stores in 23 states, including 140 stores in California, 52 in Texas and 45 in Florida.