Starbucks reported record revenue in its fiscal third quarter as its China business roared back to life.
Still, the company’s results were mixed for the 13 weeks ending July 2. While its earnings surpassed Wall Street’s forecast, its revenue and same-store sales were lower than expected as North American store traffic slowed.Same-store sales — or sales at stores open at least a year — jumped 46% in China, reversing last year’s declines due to COVID restrictions. At Chinese stores opened in 2019 or earlier, morning routines are fully back to 2019 levels, the company said.
Narasimhan said new equipment, including warming ovens and cold foam blenders, have now rolled out to all U.S. company-operated stores and are improving service times. Cold drinks now make up 75% of Starbucks’ U.S. beverage sales, he said, and cold foam is the fastest-growing add-on. Starbucks’ global same-store sales increase of 10% was also lower than Wall Street’s forecast of 11%.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Starbucks' sales in China come roaring back | CNN BusinessStarbucks’ China business is back after dropping due to Covid restrictions last year.
Read more »
Starbucks sees a big rebound in China, but results fail to impress investorsShares of Starbucks Corp. fell after hours after the coffee chain reported third-quarter same-store sales that missed expectations.
Read more »
Starbucks misses quarterly sales estimates, China sales buoyStarbucks missed market expectations for quarterly comparable sales on Tuesday, with demand for its coffees and cold drinks both in the North American and international markets showing some signs of tapering even as China sales rebounded.
Read more »
Starbucks beats earnings estimates, but sales disappoint despite China boomStarbucks stock has risen just 1.5% this year, giving the company a market value of $115 billion.
Read more »
Yum China stock falls as fast-food chain in China reports lower salesShares of Yum China Holdings Inc. dropped more than 3% in the extended session Monday after the operator of KFC, Pizza Hut and other fast-food brands in...
Read more »
15 Best & Worst Drinks to Order at Starbucks, Say DietitiansWe asked dietitians to look at the Starbucks drink menu and identify the best healthy Starbucks drinks and the worst ones to avoid.
Read more »