Whole Foods Market Inc. (WFM), the largest natural-goods grocer in the U.S., lowered its annual sales forecast amid increased competition from new rivals.
Sales this fiscal year will rise 9.6 percent to 9.9 percent, down from a previous projection for a gain of as much as 11 percent, the Austin, Texas-based company said yesterday in a statement. Sales at stores open at least 53 weeks will rise as much as 4.4 percent after earlier forecasting up to 5.5 percent.
Whole Foods has been trying to lower its prices to better compete with other natural and organic food sellers including Fresh Market Inc., Sprouts Farmers Market Inc. and Kroger Co. (KR) Whole Foods, which has almost 390 locations, also has been accelerating store openings to boost revenue. Those stores, however, are eroding sales of established locations.
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