UPDATE 2-Whole Foods profit beats, shares jump on view

* Q1 EPS 32 cents vs. Street view of 26 cents

* Raises 2010 sales and earnings forecasts

* Q1 identical-store sales turn positive

* Shares up more than 7 percent

(Adds company comment, industry background, byline)

By Lisa Baertlein

LOS ANGELES, Feb 16 (Reuters) - Whole Foods Market Inc WFMI.O posted a quarterly profit that topped analysts' view and boosted its fiscal 2010 sales and earnings forecasts, sending shares up 7.6 percent.

Identical-store sales for the high-end food retailer, excluding five relocations and two major expansions, increased 2.5 percent -- ending more than a year of declines.

The chain's traditionally higher-income shoppers are returning to the chain, buying more items per trip and so far have spent more money than in 2009 for Super Bowl and Valentine's day.

There are signs that some customers are buying higher-priced items and trading down less, executives said on a conference call.

"Given the strong sales momentum we are seeing, there are many reasons to be bullish about our future results," Chief Executive John Mackey said in a statement.

However, he remained cautious.

"It is relatively early in our recovery, however, and there is still a lot of uncertainty regarding where the economy, the consumer, and competition go from here," Mackey said.

The Austin, Texas-based seller of organic and natural foods said on Tuesday net income was $49.7 million, or 32 cents per share, for the fiscal first quarter ended Jan. 17. That compared with net income of $27.8 million, or 20 cents per share, in the year-earlier quarter.

Analysts, on average, had expected a profit of 26 cents a share in the most recent quarter, according to Thomson Reuters I/B/E/S.

Sales rose 7 percent to $2.64 billion during the quarter, topping analysts' call for $2.60 billion.

Whole Foods on Tuesday raised its 2010 growth estimates: for sales to a range of 8.5 percent to 10.5 percent, comparable store sales of 3.5 percent to 5.5 percent, and identical-store sales of 2.9 percent to 4.9 percent.

It previously forecast sales growth of 5 percent to 8 percent, same-store sales growth of 1 percent to 4 percent and identical store sales that are flat to up 3 percent.

Whole Foods also raised its estimates for earnings, excluding items, to a range of $655 million to $685 million from a previous range of $625 million to $650 million, and diluted earnings per share to $1.20 to $1.25 from a previous range of $1.05 to $1.10.

Over the last year, the supermarket chain referred to by some as "whole paycheck" has revamped its pricing and put increased focus on its lower-cost generic products amid intense competition from supermarket chains run by Kroger Co (KR.N), Safeway Inc (SWY.N) and Supervalu Inc (SVU.N).

Shares of Whole Foods, which closed up 2.6 percent at $30.52 on the Nasdaq, jumped to $32.85 in extended trade.

(Reporting by Lisa Baertlein; Editing by Richard Chang, Phil Berlowitz)