Sprouts Farmers Market, Inc. · NASDAQ:SFM
Sprouts Farmers Market — Q3 2023 Earnings Presentation
10 slides from Sprouts Farmers Market's earnings presentation, Oct 31, 2023
Slide 1: Q3 2023 Earnings
Q3 2023 Earnings October 2023
Slide 2: Forward-Looking Statements and Non-GAAP Financial Measures
Forward-Looking Statements Certain statements in this presentation are forward-looking as defined in the Private Securities Litigation Reform Act of 1995. Any statements contained herein (including, but not limited to, statements to the effect that Sprouts Farmers Market, Inc. (the “Company”) or its
Slide 3: Third Quarter 2023 Highlights
Third Quarter 2023 Highlights Net Sales +8% Comps (1) +3.9% Adj. diluted EPS(2) $0.65 EPS Growth (3) +7% New Store Openings 10 Share Repurchases $32M (1) Comparable Store Sales (2) See the Appendix to this presentation for a reconciliation of diluted EPS to Adjusted diluted EPS (3) Reflects comparis
Slide 4: YTD 2023 Highlights
YTD 2023 Highlights Net Sales +6% New Store Openings 24 Cash Generation YTD $409M From Operations Share Repurchases $180M 4
Slide 5: Third Quarter Sales Drivers
Third Quarter Sales Drivers • Solid positive traffic trends continue • Better availability of products and in-stocks • Strong alignment of Marketing, Merchandise, Supply Chain and Operations • Differentiated departments (e.g., Proteins, Grocery, Dairy, and Frozen) experienced year- over-year solid g
Slide 6: Maintaining a Structurally Improved Margin Profile
Maintaining a Structurally Improved Margin Profile ADJUSTED EBIT & ADJUSTED EBIT MARGIN(1) ($ in mm) 7.00% 6.00% 5.7% 5.7% 5.3% 5.1% 5.00% $90 $90 $86 $81 4.00% 2.7% 3.00% 2.00% $40 1.00% $0 0.00% Q3 19 Q3 20 Q3 21 Q3 22 Q3 23 (1) See the Appendix to this presentation for a reconciliation of EBIT to
Slide 7: Driving Shareholder Value Through An Ongoing Share Repurchase Program
Driving Shareholder Value Through An Ongoing Share Repurchase Program Total Share Repurchase • From 2015 through Q3 2023: ($ in mm) • Repurchased 63 million shares • Reduced shares outstanding by $188 $200 41% $176 $180 • $231M remaining on our share repurchase authorization* $0 2019 2020 2021 2022
Slide 8: Full-Year 2023 Outlook
Full-Year 2023 Outlook Total sales growth of 6.5% to 7.0% Comp sales growth of approximately 3% Expect to open 30 new stores Adjusted earnings before interest & taxes $387M to $393M Adjusted diluted earnings per share (EPS) $2.77 to $2.81 Capex $190M to $210M Fourth Quarter, 2023: Comp sales growth
Slide 9: Appendix
Appendix 9
Slide 10: Non-GAAP Measure Reconciliation
Appendix The following table shows a reconciliation of adjusted gross margin to gross margin, EBIT and adjusted EBIT to net income, adjusted EBIT margin to EBIT margin, as well as a reconciliation of net income and diluted earnings per share to adjusted net income and adjusted diluted earnings per s
Sprouts Farmers Market — Q3 2023 Earnings Presentation on 6ix