US natural food chain Sprouts Farmers Market saw a 15% sales increase during 2020, helping the retailer to nearly double its net income.
The Phoenix, Arizona headquartered retailer, which operates nearly 350 stores across the US, recorded net sales of $6.5 billion – a 15% increase over 2019. Comparable store sales growth was 6.9%. Adjusted net income in 2020 was $294 million, compared to $150 million in 2019.
E-commerce sales increased 340% for the year and accounted for 11% of Sprouts’ Q4 sales.
Strong growth looks set to continue into 2021. First quarter results, released this week, show net sales of $1.6 billion – a 17% increase from the same period in 2019
“In 2020, we generated record earnings and cash flow from a 15% increase in sales while absorbing costs associated with a 340% increase in e-commerce sale”
“In 2020, we generated record earnings and cash flow from a 15% increase in sales while absorbing costs associated with a 340% increase in e-commerce sales, paying record bonuses to our frontline team members, and opening 22 new stores,” said Jack Sinclair, chief executive officer of Sprouts Farmers Market.
“Executing our strategic initiatives at a more rapid pace than we originally planned is fuelling these encouraging results and establishing a solid base from which we can invest and grow. I want to thank not only our dedicated team members at Sprouts, but also our supply chain partners, vendors, farmers and growers, who worked collectively to make healthy food accessible to our customers in this extraordinary year.”