Starbucks on Tuesday reported weaker-than-expected quarterly earnings and revenue, fueled by a surprise decline in same-store sales.
Shares of the company fell 8% in extended trading.
Here’s what the company reported compared with what Wall Street was expecting, based on a survey of analysts by LSEG:
- Earnings per share: 68 cents adjusted vs. 79 cents expected
- Revenue: $8.56 billion vs. $9.13 billion expected
The coffee giant reported fiscal second-quarter net income attributable to the company of $772.4 million, or 68 cents per share, down from $908.3 million, or 79 cents per share, a year earlier.
Net sales dropped nearly 2% to $8.56 billion. The company’s same-store sales fell 4% as traffic to its cafes declined 6% in the quarter.
Starbucks said it will discuss its full-year financial outlook during the company’s conference call later on Tuesday. Last quarter, it said it anticipates revenue growth of 7% to 10%, global same-store sales growth in a range of 4% to 6% and earnings per share growth of 15% to 20%.
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