Starbucks Corp said on Wednesday it expected current-quarter operating income to plunge by up to $2.2 billion, with sales declines for the rest of the year even as stores reopen following easing of coronavirus lockdowns.
FILE PHOTO: A man wearing a mask walks in front of a shuttered Starbucks as the spread of the coronavirus disease outbreak continues in the Manhattan borough of New York City, U.S., April 27, 2020. REUTERS/Lucas Jackson
- Starbucks Corp said on Wednesday it expected current-quarter operating income to plunge by up to $2.2 billion, with sales declines for the rest of the year even as stores reopen following easing of coronavirus lockdowns. The world’s largest coffee chain said it would permanently close about 400 stores in the Americas over the next 18 months and would cut the number of planned new store openings by half, to about 300 this fiscal year.Starbucks projected an adjusted loss of about 55 cents to 70 cents per share for its third quarter ending in June, and said it expects U.S. same-store sales to drop by up to 45%.
Sales trends are expected to improve in the fourth quarter, but Starbucks still estimates U.S. same-store sales to be down 10% to 20% for the full year.Starbucks said it expects to lose between $3 billion to $3.2 billion in revenue in the current quarter and forecast an operating income decline between $2 billion to $2.2 billion.Reporting by Uday Sampath in Bengaluru; Editing by Sriraj Kalluvila
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.
BTS and its 'Army' donates more than $2 million to Black Lives MatterThe BTS fan-based charity fundraising group 'One In An ARMY' has launched a campaign to raise funds in support of the Black Lives Matter movement after the K-pop group donated $1 million.
Read more »
The $2 billion Softbank-backed insurance startup Lemonade has filed to go public - Business InsiderBusiness Insider is a fast-growing business site with deep financial, media, tech, and other industry verticals. Launched in 2007, the site is now the largest business news site on the web.
Read more »
IPO market gears up for another busy week with 8 deals expected to raise $2 billionThe U.S. IPO market is gearing up for another busy week with eight deals on tap expected to raise about $2 billion, led by Azek Co., a maker of materials for outdoor living products.
Read more »
Someone Allegedly Finds $2 Million Buried Treasure In The RockiesOver 350,000 people have looked for the bounty.
Read more »
Coronavirus Infections Are On The Rise In 21 U.S. States, With Cases Spiking In California, Arizona And North CarolinaThe number of Covid-19 diagnoses also hit record highs in Oregon and Arkansas this weekend.
Read more »