US: Whole Foods Profits Top Q2 Estimates, But Sales Suffer

Whole Foods Market has reported better-than-expected profits for its fiscal second quarter, but suffered a drop in like-for-like sales.

For the three months to 10 April, earnings per share were flat, but LFL sales were down 3%. The chain was hurt by a 2.1% reduction in traffic numbers, and a 0.9% decline in the average basket size.

Whole Foods said it is still improving in its discounting efforts, with co-CEO John Mackey noting: “We’re copying some of the things that of our competitors do, we’re learning from everybody. We’re probably undergoing far more an evolution in our company than ever before.”

It also lowered its full-year sales forecast, saying it now expects growth of up to 3%, down from a previous forecast of growth of up to 5%.