Whole Foods boosts outlook on strong Q1

Posted by Josette Dunn on 11th February 2011

Whole Foods Market has increased its sales and earnings per share forecasts for the 2011 fiscal year on the back of strong first-quarter results.

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The US health food retailer yesterday (9 February) increased its diluted EPS targetto US$1.76-1.8 a share, up on the $1.66-1.71 a share it previously forecast. It is expecting sales to grow 10.7-12.8%, up on the 10-12% previously forecast.

“Based on our consistently strong top- and bottom-line results, along with ongoing signs of increasing consumer confidence, we are raising our sales and earnings outlook for the year,” said co-CEO Walter Robb.

“Our new range for identical-store sales growth of 7% to 9% appropriately reflects that we have yet to cycle over our toughest comparisons, while also allowing for the possibility that our 9% year-to-date results could be sustainable especially given the likelihood of some positive impact from inflation.”

The announcement came as the chain recorded a 79% increase in net income to reach $88.7m, while sales rose 14% to $3bn.

The retailer said that identical-store sales were up 9.1% on the same quarter of the previous year.

Shares in the company were up 1.5% on the market’s close yesterday to $53.75 a share.

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