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Sprouts Farmers Market serves shoppers looking for health-oriented groceries in the United States. Customers pay for products in its stores or order through its website and app for pickup or delivery. Perishable foods, including produce, meat, seafood and dairy, generate most sales. The assortment also includes packaged groceries and supplements, alongside exclusive Sprouts Brand products.
Keeping stores stocked depends on both its own distribution network and outside suppliers. Sprouts sources, warehouses and distributes nearly all its produce itself, while KeHE Distributors is its main supplier of dry groceries and frozen foods and accounts for most of its merchandise purchases. This makes KeHE an important dependency even though fresh foods lead sales.
Food and supplement rules also constrain what Sprouts can sell and the claims it can make. It relies on suppliers and contract manufacturers to provide compliant products; products that fail to meet requirements may have to be relabeled, removed or recalled.
The risk section is the longest, dullest part of the filing. This keeps only what can really hurt you: where it hits, how hard, when it plays out.
Every company claims an edge. Each one is checked against hard numbers like margins and returns: which hold, and which line gives way first.
Sprouts depends heavily on privately held KeHE Distributors, which supplied approximately 52% of its total purchases in fiscal 2025.
NATURAL GROCERS BY VITAMIN COTTAGE, INC competes with Sprouts for health-conscious shoppers buying natural and organic groceries and dietary supplements. Its sales to those shoppers are worth watching, especially organic produce, which accounted for more than half of Sprouts’ fresh produce sales in 2025.
Sprouts relies on United Natural Foods Inc to buy and distribute groceries to its stores; the wholesaler accounted for 12% of Sprouts’ total purchases in fiscal 2025. Watch its distribution performance for what it means for product availability at Sprouts.
Kroger competes with Sprouts for households’ grocery spending through supermarkets and online ordering. Its loyalty-card offers give shoppers another reason to choose Kroger over Sprouts’ fresh, natural and organic assortment.
Albertsons competes with Sprouts for shoppers buying fresh food and packaged groceries, both in stores and through delivery or pickup orders. Its grocery sales through those digital channels are worth watching as another route to the same customers.
Grocery Outlet Holding Corp. competes with Sprouts for grocery purchases in overlapping western and Mid-Atlantic markets. It buys merchandise at discounts and sells a changing selection alongside everyday staples; watch that offering where Sprouts is expanding, particularly California and the Mid-Atlantic.
Walmart competes with Sprouts for households’ grocery purchases, with everyday low prices influencing where shoppers spend. Watch its grocery pricing in stores and online as an alternative to Sprouts’ health-oriented assortment.
Costco’s low-price membership warehouses compete with Sprouts for household food purchases, especially when shoppers compare value. Its limited selection and bulk purchasing support low prices, making its grocery offering worth watching alongside Sprouts’ curated natural and organic foods.
Amazon’s Whole Foods Market competes directly with Sprouts for shoppers buying natural and organic groceries. Watch Whole Foods rather than Amazon’s overall results for this rivalry, since groceries are a small part of Amazon’s business.
Sprouts Farmers Market, Inc. earningsThis company
Sprouts sells fresh, natural and organic groceries in its stores, and this report will show whether sales at established stores can keep growing without eroding the gross margin on each sale.
Read comparable-store sales growth alongside gross margin. If established stores keep growing sales and gross margin holds or improves, shoppers are still buying and Sprouts is managing shrink, product costs and its sales mix. Slower sales growth or a falling margin would point to weaker store momentum or less profit from each sale, making expansion and distribution changes harder to absorb. The question is whether growth comes from established stores and still earns a steady margin.
NATURAL GROCERS BY VITAMIN COTTAGE, INC earningsNGVC
Natural Grocers’ report can show whether health-conscious shoppers are buying natural and organic foods, the same customers Sprouts competes to serve.
Look at Natural Grocers’ sales, especially any information it provides on organic produce, and compare the direction with Sprouts’ comparable-store sales. Stronger sales would suggest shoppers are still buying these foods, but Sprouts faces active competition for them; weaker sales could signal softer demand or a problem specific to Natural Grocers, not necessarily a change at Sprouts. Separate the health of the shared market from the rival’s own execution.
Walmart Inc. earningsWMT
Walmart uses everyday low prices to win household grocery spending, and its report can show how its stores and online business compete with Sprouts for food shoppers.
Focus on Walmart’s grocery sales and any pricing information it provides, not just its company-wide results. Strong grocery sales alongside a clear low-price offer would give price-conscious households a reason to shop at Walmart and compare prices with Sprouts; weaker grocery demand or a less prominent price advantage could ease that pressure. Because Walmart sells far more than groceries, only grocery-specific evidence speaks directly to this rivalry.
United Natural Foods Inc earningsUNFI
United Natural Foods supplies and distributes some groceries for Sprouts, so its report can offer clues about the supplier’s delivery operations and the products Sprouts can keep on its shelves.
Watch for signs of smooth deliveries or disruption, and whether the report points to strain in the distributor’s operations. Reliable delivery would support product availability at Sprouts; problems could mean shortages, lost sales or extra cost as Sprouts seeks alternatives. A warning from United Natural Foods signals supplier risk, but does not by itself prove Sprouts stores were affected.
