Sprouts Farmers Market : Investor Deck

INVESTOR DECK

May 2024

Forward-Looking Statements

Certain statements in this presentation are forward-looking as defined in the Private Securities Litigation Reform Act of 1995. Any statements contained herein that are not statements of historical fact (including, but not limited to, statements to the effect that Sprouts Farmers Market, Inc. (the "Company") or its management "anticipates," "plans," "estimates," "expects," or "believes," or the negative of these terms and other similar expressions) should be considered forward-looking statements, including, without limitation, statements regarding the Company's outlook, growth, opportunities and long-term strategy. These statements involve certain risks and uncertainties that may cause actual results to differ materially from expectations as of the date of this presentation. These risks and uncertainties include, without limitation, the Company's ability to execute on its long-term strategy; the Company's ability to successfully compete in its competitive industry; the Company's ability to successfully open new stores; the Company's ability to manage its growth; the Company's ability to maintain or improve its operating margins; the Company's ability to identify and react to trends in consumer preferences; product supply disruptions; equipment supply disruptions; general economic conditions that impact consumer spending or result in competitive responses; accounting standard changes; the current inflationary environment and future potential inflationary and/or deflationary trends; and other factors as set forth from time to time in the Company's Securities and Exchange Commission filings, including, without limitation, the Company's Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. The Company intends these forward-looking statements to speak only as of the time of this presentation and does not undertake to update or revise them as more information becomes available, except as required by law.

Non-GAAP Financial Measures

We refer to adjusted gross profit, adjusted gross margin, EBIT, adjusted EBIT, adjusted EBIT Margin, and adjusted diluted earnings per share, each of which is a Non-GAAP Financial Measure. These measures are not prepared in accordance with, and are not intended as alternatives to, generally accepted accounting principles in the United States, or GAAP. The Company's management believes that such measures provide useful information to management, analysts and investors regarding certain additional financial and business trends relating to its results of operations and financial condition. In addition, management uses these measures for reviewing the Company's financial results, and certain of these measures may be used as components of incentive compensation.

The Company defines adjusted gross profit as gross profit, excluding the impact of special items. Adjusted gross margin reflects adjusted gross profit divided by net sales for the applicable period. EBIT is defined as net income before interest expense and provision for income tax, and adjusted EBIT as EBIT, excluding the impact of special items. Adjusted EBIT Margin reflects adjusted EBIT, divided by net sales for the applicable period. The Company defines adjusted diluted earnings per share as diluted earnings per share excluding the impact of special items.

Non-GAAP measures are intended to provide additional information only and do not have any standard meanings prescribed by GAAP. Use of these terms may differ from similar measures reported by other companies. Because of their limitations, non-GAAP measures should not be considered as a measure of discretionary cash available to use to reinvest in the growth of the Company's business, or as a measure of cash that will be available to meet the Company's obligations. Each non-GAAP measure has its limitations as an analytical tool, and you should not consider them in isolation or as a substitute for analysis of the Company's results as reported under GAAP.

To the extent forward looking non-GAAP financial measures are provided herein, they are not reconciled to comparable forward-looking GAAP measures due to the inherent difficulty in forecasting and quantifying certain amounts that are necessary for such reconciliation.

Unless otherwise indicated, information included in this presentation is as of our 2023 fiscal year ended December 31, 2023.	2

FIND YOUR HEALTHY

WHAT DEFINES SPROUTS

And what makes us different

• Differentiated assortment of innovative, healthy and lifestyle-friendly products
• Purposeful curation of responsibly and locally sourced products
• Sprouts Brand: high-quality, attribute- specific private label
• Farmers market experience open layout with fresh produce at the heart of the store, community feel, treasure hunt for unique products
• Increasing access to high-quality, better- for-you products
• Team: friendly & welcoming, helpful, knowledgeable
• Culture: care, own it, love being different!
• Fresh supply chain: integrated fresh produce distribution channel

4

WHY INVEST IN SPROUTS?

A Differentiated, Powerful Growth Business

• Incredible growth opportunity: ~ 35 new stores in 2024, approximately 10% annual unit growth
• Strong box economics
• Strong financial returns: low double-digit earnings growth and expansion of ROIC
• Healthy balance sheet & robust cash flows, with shareholder-friendly capital allocation
• Innovative & differentiated products with lifestyle-friendly ingredients
• Leadership team: deeply experienced in retail and consumer space
• Best in fresh, with best-in-class customer service
• Sustainability: deep commitment to taking care of our team, community and the planet

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SPROUTS' LONG-TERM STRATEGY

INSPIRE & ENGAGE OUR TALENT TO CREATE A BEST PLACE TO WORK

WIN WITH	REFINE	UPDATE	INCREASINGLY
TARGET	BRAND AND	FORMAT AND	ADVANTAGED
CUSTOMERS:	MARKETING	EXPAND IN	SUPPLY CHAIN:
• Robust	APPROACH:	SELECT	•	Fresher products
	MARKETS:
omnichannel	• Digital-first	•	Increased local
experience	marketing	• Smaller stores
	offering
	program	focused on
• Products steeped
focused on	higher returns
in innovation

customer	•	De-risking our
engagement
	growth

DELIVER ON FINANCIAL TARGETS(1)

APPROXIMATELY 10% UNIT GROWTH (2)

LOW DOUBLE-DIGIT EARNINGS GROWTH

EXPANDING ROIC

1. These are targets and not projections; they are subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond the control of the Company and its management, and are based on assumptions with respect to future decisions, which may be subject to change. Actual results may vary and the variances may be material. Nothing in this presentation should

be regarded as a representation that these targets will be achieved and the Company undertakes no duty to update its targets. See "Forward-Looking Statements."

(2) Expect to open approximately 35 new stores in 2024	6

SPROUTS' FOCUS ON INNOVATION & DIFFERENTIATION:

~70% of Products Sold at Sprouts are Attribute-Based

>15% Vegan

~30% non-GMO

>40% organic

~55% gluten-free

~35% organic

~30% vegan

~15% plant-based

~50% organic

>25% plant-

based

~20% gluten-

free

>45% gluten-free >20% plant-based >20% vegan ~25% organic

>15% organic ~15% non-GMO

• 50% of Beef sales are grass- fed

>20% organic >20% Kosher

~75% gluten-

free

>40% vegan

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PRODUCE: THE HEART OF THE STORE; Farmers Market Experience

• Hybrid produce buying model: centralized and regional teams allow us to be flexible and react to the produce markets quickly

• Meaningful farmer partnerships: delivers new varietals and favorable pricing to our customers through spot buys

• Increasingly locally sourced fresher produce, through new

distribution channels

• Rescued Organics program: designed to reduce food waste and support famers; launched in all stores in California

• Produce priced below most in the marketplace

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SPROUTS' STORES ARE FILLED WITH A CURATION OF

DIFFERENTIATED BETTER-FOR-YOU PRODUCTS

More than 70% of Products Sold in Sprouts are Attribute Driven:

Organic, Paleo, Keto, Plant Based, Non-GMO,

Gluten Free,Vegan, Dairy-free, Grass Fed, Raw

(Includes all produce)

SPROUTS BRAND:

DIFFERENTIATED, HIGH QUALITY, ATTRIBUTE-SPECIFIC

Sprouts Brand Sales Penetration(1)

20%

19%

16% 16%

14%

2019

2020

2021

2022

2023

(1) Sprouts Brand Sales Penetration represents sales of Sprouts Brand products, as a percentage of total company sales. 10