Companies /Consumer Defensive
Sprouts Farmers Market Inc
NASDAQ: SFM Grocery Stores
$49.65
▲ $1.65 (+3.43%) today
Markets open · 2:38pm ET

Sprouts Farmers Market (SFM) Q3 2026 Earnings

Reported Oct 28, 2026, 4:04pm ET · SEC source
$1.21
Miss −1.61%
EPS · est. $1.23 Adjusted
$2.3B
Miss −1.23%
Revenue · est. $2.3B
1 quarter
Consecutive EPS misses

How Did SFM Stock React to Q3 2026 Earnings?

% change · around the report
0+20%Oct 28Oct 29report 4:04pm ETearnings−1.1%−11.3%
0+20%Oct 28Oct 29earnings−1.1%−11.3%
SFM −11.3%S&P 500 −1.1%
0+20%Oct 28Oct 29report 4:04pm ETearnings−3.1%−11.3%
0+20%Oct 28Oct 29earnings−3.1%−11.3%
SFM −11.3%NASDAQ −3.1%
0+20%Oct 27Oct 30report 4:04pm ETearnings−2.3%−2.5%
0+20%Oct 27Oct 30earnings−2.3%−2.5%
SFM −2.5%S&P 500 −2.3%
0+20%Oct 27Oct 30report 4:04pm ETearnings−4.8%−2.5%
0+20%Oct 27Oct 30earnings−4.8%−2.5%
SFM −2.5%NASDAQ −4.8%
−22.58%
Day of report
+3.17%
Next session

Did SFM Beat Earnings? Q3 2026 Results

No. Sprouts Farmers Market reported Q3 2026 earnings of $1.21 a share on Oct 28, 2026, missing the $1.23 consensus estimate by 1.6%. Revenue was $2.3B against a $2.3B estimate.

Sprouts Farmers Market delivered a soft third quarter of fiscal 2026, missing on both top and bottom lines and snapping a five-quarter streak of beating consensus EPS estimates. The natural and organic grocer reported adjusted diluted EPS of $1.21, falling short of the $1.23 Wall Street consensus by 1.61%, while revenue of $2.30 billion trailed estimates by 1.23% despite rising 4.7% year over year. The primary culprit was a combination of negative comparable store sales, down 0.9%, and margin compression, with gross margin contracting to 38.2% from 38.7% a year ago; CEO Jack Sinclair pointed to a "challenging consumer environment" and a cyclospora disruption as key pressures. Even a record 15 new store openings in the quarter, bringing the total to 504 locations, could not offset the softer traffic trends. The outlook offers little near-term relief, with fourth-quarter comparable sales guided to a range of negative 2.0% to negative 4.0% and full-year 2026 EPS seen at roughly $4.80, though a 53rd fiscal week is expected to contribute approximately $0.16 of that figure.

Key Takeaways
  • Net sales up 5% on new store growth despite comparable store sales of (0.9)%
  • Challenging consumer environment and cyclospora disruption weighed on the quarter
  • Gross margin declined to 38.2% from 38.7%
  • EBIT margin declined to 6.6% from 7.2%
  • Depreciation, amortization and accretion rose to $47.7 million from $40.7 million
  • Lower diluted share count (93.7 million vs 98.7 million) from share repurchases
  • Strong performance of recent store vintages

“While a challenging consumer environment and the cyclospora disruption affected the quarter, we recognize the need to improve our performance and are taking action to strengthen execution and drive traffic.”

Sprouts Farmers Market CEO, on the earnings call

What Is Sprouts Farmers Market's Outlook?

Fourth quarter 2026 (13-week basis): comparable store sales of (2.0)% to (4.0)% and diluted EPS of $0.47 to $0.51. Full year 2026 (52-week basis): - Net sales growth of ~4.3% - Comparable store sales of ~(1.7)% - EBIT of ~$605 million - Diluted EPS of ~$4.80 - 42 net new stores - Capex, net of landlord reimbursements, of ~$310 million Fiscal 2026 is a 53-week year with the extra week in Q4, estimated to add approximately $190 million in sales, $20 million in income before interest and taxes, and $0.16 in diluted EPS. Long-term targets: ~10% unit growth, low single-digit comps, stable EBIT margins and low double-digit earnings growth.

SFM YoY Financials

Q3 2026 vs Q3 2025 · SEC filings Q3 2025 Q3 2026
$0$700.0M$1.4B$2.1B$2.2B$2.3BRevenue$812.2M$880.8MGross Profit$158.9M$152.8MOperating Income$120.1M$113.4MNet Income
$0$700.0M$1.4B$2.1BRevenueGross ProfitOperating IncomeNet Income
SFM income statement, Q3 2026 versus Q3 2025
Metric Q3 2026 Q3 2025 Year over year
Revenue $2.3B $2.2B +4.7%
Gross Profit $880.8M $812.2M +8.5%
Operating Income $152.8M $158.9M −3.8%
Net Income $113.4M $120.1M −5.6%

Figures from SEC filings and company reports. Not investment advice.