Press release
Starbucks Reports Q2 Fiscal 2024 Results
Q2 Consolidated Net Revenues Down 2% to $8.6 Billion, Driven by a Complex Operating Environment Q2 GAAP and Non-GAAP EPS of $0.68; Long-Term Strategy Remains
About this update from Starbucks Corporation
[{"type":"text","content":"\nQ2 Consolidated Net Revenues Down 2% to $8.6 Billion, Driven by a Complex Operating Environment\n\n\nQ2 GAAP and Non-GAAP EPS of $0.68; Long-Term Strategy Remains Intact\n\n\nQ2 Active U.S. Starbucks® Rewards Membership Totals 32.8 Million, Up 6% Over Prior Year\n\n\n SEATTLE--(BUSINESS WIRE)--\nStarbucks Corporation (Nasdaq: SBUX) today reported financial results for its 13-week fiscal second quarter ended March 31, 2024. GAAP results in fiscal 2024 and fiscal 2023 include items that are excluded from non-GAAP results. Please refer to the reconciliation of GAAP measures to non-GAAP measures at the end of this release for more information.\n\n\nQ2 Fiscal 2024 Highlights\n\n\n\nGlobal comparable store sales declined 4%, driven by a 6% decline in comparable transactions, partially offset by a 2% increase in average ticket\n\n\nNorth America and U.S. comparable store sales declined 3%, driven by a 7% decline in comparable transactions, partially offset by a 4% increase in average ticket\n\n\n\nInternational comparable store sales declined 6%, driven by a 3% decline in both comparable transactions and average ticket; China comparable store sales declined 11%, driven by an 8% decline in average ticket and a 4% decline in comparable transactions\n\n\n\n\n\n\nThe company opened 364 net new stores in Q2, ending the period with 38,951 stores: 52% company-operated and 48% licensed\n\n\nAt the end of Q2, stores in the U.S. and China comprised 61% of the company’s global portfolio, with 16,600 and 7,093 stores in the U.S. and China, respectively\n\n\n\n\n\n\nConsolidated net revenues declined 2%, to $8.6 billion, or a 1% decline on a constant currency basis\n\n\n\nGAAP operating margin contracted 240 basis points year-over-year to 12.8%, primarily driven by deleverage, incremental investments in store partner wages and benefits, increased promotional activities, lapping the gain on the sale of Seattle's Best Coffee brand, as well as higher general and administrative costs primarily in support of Reinvention. This decline was partially offset by pricing and in-store operational efficiencies.\n\n\nNon-GAAP operating margin contracted 150 basis points year-over-year to 12.8%, or contracted 140 basis points on a constant currency basis\n\n\n\n\n\n\nGAAP earnings per share of $0.68 declined 14% over prior year\n\n\nNon-GAAP earnings per share ...