Sprouts Farmers Market LLC (SFM)

Pretax margin

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Earnings before tax but after interest (EBT) (ttm) US$ in thousands 506,698 467,421 429,866 391,886 343,740 335,206 337,637 332,013 349,313 337,381 331,890 328,750 322,392 363,679 356,046 364,360 376,878 328,772 287,508 244,376
Revenue (ttm) US$ in thousands 7,719,300 7,421,610 7,189,150 6,987,880 6,837,380 6,715,390 6,593,140 6,496,370 6,404,220 6,320,470 6,239,070 6,165,580 6,099,870 6,208,900 6,276,870 6,397,670 6,468,760 6,231,920 6,094,540 5,867,490
Pretax margin 6.56% 6.30% 5.98% 5.61% 5.03% 4.99% 5.12% 5.11% 5.45% 5.34% 5.32% 5.33% 5.29% 5.86% 5.67% 5.70% 5.83% 5.28% 4.72% 4.16%

December 31, 2024 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $506,698K ÷ $7,719,300K
= 6.56%

The pretax margin of Sprouts Farmers Market LLC has shown a generally positive trend over the period from March 31, 2020, to December 31, 2024. The pretax margin increased from 4.16% in March 2020 to a peak of 6.56% in December 2024. The pretax margin experienced fluctuations during this period but maintained an overall upward trajectory.

The pretax margin measures the company's efficiency in controlling operating expenses relative to its revenue before accounting for taxes. A higher pretax margin indicates that the company is generating more profit from its operations before tax expenses.

The company's ability to steadily increase its pretax margin reflects effective cost management and potentially improving operational efficiency. However, fluctuations in the margin signal potential variability in sales growth, operating expenses, or other factors affecting profitability.

Overall, the increasing pretax margin of Sprouts Farmers Market LLC indicates a positive performance in managing costs and generating profits before tax expenses, showcasing a potentially healthy financial position over the analyzed period.


Peer comparison

Dec 31, 2024

Company name
Symbol
Pretax margin
Sprouts Farmers Market LLC
SFM
6.56%
Grocery Outlet Holding Corp
GO
1.28%
Kroger Company
KR
2.27%