Whole Foods Market Jumps on Solid Earnings (WFMI)

Shares of Whole Foods Market, Inc. (NASDAQ: WFMI) are popping in the after-hours trade following the release of its Q2 earnings results. Currently shares are higher by 3.78%, trading at $62.00.

The company reported Q2 EPS of $0.51 on revenues of $2.35 billion. Sales for the quarter increased 12%. Management also raised its EPS outlook for fiscal year 2011 to $1.87 to $1.90, an increase of 31% to 33% year over year.

"These are the strongest overall results we have reported in the past five years. Our solid execution is generating consistent cash flow, and with our long-term debt now fully repaid, we are considering other uses for our growing cash balance, including accelerating our growth, raising our dividend and repurchasing stock," said John Mackey co-founder and co-chief executive officer of Whole Foods Market.

"We are very proud of our balance sheet and that, despite a much tougher year-ago comparison, we are reporting our sixth consecutive quarter of accelerating two-year identical store sales growth. Based on our results for the quarter, we have raised our earnings outlook by $0.10 for the year."

Whole Foods Market, Inc. is a natural and organic foods supermarket. The company has one operating segment, natural and organic foods supermarkets. As of September 26, 2010, the company operated 299 stores in the United States, Canada and the United Kingdom.