The company reported better-than-expected fourth-quarter earnings and expressed confidence in its long-term growth strategy despite expecting a less-than-robust first half of 2026.
The Phoenix-based natural and organic grocer plans to open more than 40 new stores in 2026. Sprouts opened 37 locations in 2025, including its first-ever site in New York. It ended the year with a total of 477 stores in 24 states.
On the company’s earnings call, CEO Jack Sinclair said that nearly all of Sprouts’ 2026 openings will be in its existing footprint. Looking forward to 2027 and beyond, however, the company is approving sites in both the Midwest and the Northeast “to lay the foundation for further future growth”.
Sprouts reported net income of $89.8M, with earnings per share of $0.92 for the quarter ended 28 December, compared to net income of $79.6M and earnings per share of $0.79 for the year-ago period. Analysts had expected earnings of $0.89 per share.
“While we were pleased with our 2025 results and remain confident in our long-term growth, we expect challenges in 2026, especially in the first half due to strong prior year comparisons and a dynamic macro environment,” said Curtis Valentine, CFO of Sprouts Farmers Market.
