Sprouts Farmers Market reported fourth-quarter earnings that exceeded Wall Street expectations on a per-share basis but fell short on revenue, sending shares up 2% in after-hours trading. The organic grocer posted diluted EPS of $0.92, beating the $0.89 consensus estimate, while net sales of $2.1 billion missed the $2.15 billion forecast.

For the full year, Sprouts delivered strong growth with net sales reaching $8.8 billion, up 14% from 2024, and comparable store sales growing 7.3%. The company opened 37 new stores in 2025, ending the year with 477 locations across 24 states. Operating cash flow reached $716 million, and the company repurchased $472 million of stock while authorizing a new $1 billion buyback program.

Despite the strong annual performance, management issued cautious guidance for fiscal 2026, citing tough comparisons and a challenging macro environment. The company expects first-quarter comparable store sales to decline between 3% and 1%, with full-year EPS guidance of $5.28 to $5.44 falling below analyst expectations. Sprouts plans to open more than 40 new stores in 2026 as it navigates near-term headwinds while maintaining confidence in its long-term growth strategy.