Starbucks U.S. Same-Store Sales Rise 7.7% as Turnaround Gains Ground
The coffee chain reported stronger U.S. comparable-store sales, but total quarterly revenue fell as its China joint-venture changes affected reported results.
Starbucks reported a 7.7% rise in U.S. same-store sales for its fiscal fourth quarter on Thursday, a stronger result than analysts had expected as the company continued its turnaround effort.
The comparable-store sales measure tracks locations open long enough to provide a consistent comparison. It is different from the company's total revenue, which fell 4% to $9.14 billion for the quarter, partly reflecting changes to its China business under a joint-venture arrangement.
Global same-store sales rose 7.2%, with comparable transactions up 1.8%. The U.S. increase exceeded the 6.5% gain expected by analysts cited in CNBC's report, giving investors a clearer sign of improvement in the chain's largest market.
Adjusted earnings were 80 cents per share, ahead of the 72 cents expected by analysts. Those adjusted results exclude certain items and should not be confused with every measure of reported profit.
The figures present a mixed picture: comparable sales improved, while total reported revenue declined and the company's international operations faced continued pressure. Starbucks' progress in the U.S. does not mean every part of the business grew at the same pace.
Starbucks published the figures in its official fourth-quarter and full-year financial results. The release provides the company's full operating results and explanation of the changes affecting revenue.