Welcome to our dedicated page for Starbucks news (Ticker: SBUX), a resource for investors and traders seeking the latest updates and insights on Starbucks stock.
Starbucks Corporation (NASDAQ: SBUX) is an American multinational chain of coffeehouses and roastery reserves headquartered in Seattle, Washington. Recognized as the world’s largest coffeehouse chain, Starbucks had 33,833 stores in 80 countries as of November 2021, with 15,444 locations in the United States alone. As of the end of fiscal 2023, the number of stores has grown to over 38,000 across more than 80 countries.
Starbucks operates through three primary segments: North America, international markets, and channel development. The company generates revenue from various streams, including company-operated stores, royalties from licensed stores, sales of equipment and products to license partners, ready-to-drink beverages, packaged coffee sales, and single-serve products. This diverse operational strategy has solidified its position as a leading player in the global coffee industry.
Recent achievements and projects include expanding its digital initiatives, such as the Starbucks Rewards loyalty program, which has seen significant growth and engagement. The company continues to innovate with new store formats, including drive-thru and mobile order-and-pay options, catering to changing consumer preferences. Starbucks is also committed to sustainability and ethical sourcing, with initiatives aimed at reducing its environmental footprint and supporting coffee farmers worldwide.
Financially, Starbucks has maintained a robust performance, with consistent revenue growth and strong market presence. Strategic partnerships and collaborations, such as its alliance with Nestlé to expand its presence in the global packaged coffee market, further enhance its brand value and market reach.
Overall, Starbucks Corporation’s continuous innovation, strategic growth, and commitment to quality have reinforced its status as a global coffee leader, making it a significant entity in both the restaurant and beverage industries.
Starbucks (NASDAQ: SBUX) has announced the elimination of extra charges for non-dairy milk alternatives in U.S. and Canada company-owned stores, effective November 7, 2023. The change applies to soymilk, oatmilk, almondmilk, and coconutmilk substitutions. Non-dairy milk is the second most requested customization after espresso shots. Nearly half of Starbucks' customers who currently pay for beverage modifications will see a price reduction exceeding 10%. This initiative aligns with the company's commitment to enhance customer experience and customization options.
Starbucks reported its Q4 and full fiscal year 2024 results, reflecting a challenged customer experience. Q4 consolidated net revenues declined by 3% to $9.1 billion. Global comparable store sales fell by 7%, driven by an 8% decline in transactions, partially offset by a 2% increase in average ticket.
North America and U.S. comparable store sales declined by 6%, while international sales fell by 9%. The company opened 722 new stores, ending the period with 40,199 stores globally. GAAP and Non-GAAP EPS were $0.80, a 25% decline year-over-year. GAAP operating margin contracted by 380 basis points to 14.4%.
For the full fiscal year, consolidated net revenues rose by 1% to $36.2 billion. Global comparable store sales declined by 2%. GAAP EPS for the year was $3.31, an 8% decrease. Starbucks Rewards membership in the U.S. grew 4% to 33.8 million. The company has suspended guidance for fiscal 2025 to reassess business strategies.
Starbucks (NASDAQ: SBUX) has announced an increase in its quarterly cash dividend from $0.57 to $0.61 per share of outstanding Common Stock. This marks the company's fourteenth consecutive annual increase, with a compound annual growth rate (CAGR) of approximately 20% since initiating its dividend in 2010.
The increased dividend will be payable on November 29, 2024, to shareholders of record on November 15, 2024. This raise brings Starbucks' annual dividend rate to $2.44 per share. The company's commitment to dividend growth is evident, having started with a $0.05 per share dividend in 2010 and consistently increasing it each year since.
Starbucks reported preliminary Q4 and full fiscal year 2024 results, showing challenges in customer experience and financial performance. Key points include:
- Q4 global comparable store sales declined 7%, with consolidated net revenues down 3% to $9.1 billion
- Full fiscal year 2024 saw a 2% decline in global comparable store sales, with consolidated net revenues up 1% to $36.2 billion
- GAAP and non-GAAP earnings per share for Q4 is $0.80, down 25% year-over-year
- Full year GAAP and non-GAAP EPS is $3.31, down 8% from previous year
- U.S. comparable store sales declined 6%, while China's declined 14% in Q4
- Company suspended guidance for fiscal year 2025 due to CEO transition and business reassessment
- Board approved an increase in quarterly cash dividend from $0.57 to $0.61 per share
CEO Brian Niccol announced a 'Back to Starbucks' plan to address performance issues and refocus on core strengths.
Starbucks (Nasdaq: SBUX) has announced its plans to release the fourth quarter and full fiscal year 2024 financial results after market close on Wednesday, October 30, 2024. This will be followed by a conference call at 2:00 p.m. Pacific Time. The call will be webcast with closed captioning and can be accessed on the company's investor relations website. A replay of the webcast will be available until Friday, December 13, 2024.
Starbucks, founded in 1971, is the world's premier roaster and retailer of specialty coffee, operating more than 40,000 stores worldwide. The company is committed to ethically sourcing and roasting high-quality arabica coffee, and delivering the unique Starbucks Experience to customers globally.
Starbucks has announced an expansion of its collaborative coffee innovation network to protect the future of coffee. The company has added new coffee farms in Guatemala and Costa Rica, with plans for future investments in Africa and Asia. These farms will focus on increasing productivity, improving farmer profitability, and building climate resilience.
The initiative builds on Starbucks' work at Hacienda Alsacia, its first company-operated coffee farm. The new farms will study hybrid coffee varieties under different conditions and explore the use of mechanization and drone technology to address labor challenges. Starbucks has already distributed nearly 90 million climate-resistant coffee trees and over 53 million seedlings to farmers as part of its commitment to distribute 100 million trees by 2025.
This expansion is part of Starbucks' broader coffee innovation network, which includes 10 Farmer Support Centers and 70 'model farms' within its supply chain. The company aims to develop solutions that can be applied across industries affected by climate change.
Elliott Investment Management has announced its position as one of the largest investors in Starbucks (NYSE: SBUX), expressing confidence in the company's long-term value-creation potential. The statement, released on August 13, 2024, highlights Elliott's two-month engagement with Starbucks' Board regarding key issues. Elliott views a recent announcement (not specified in the PR) as a transformational step forward for Starbucks.
The investment firm welcomes the appointment of Brian Niccol and expresses its intention to continue engaging with the Board to help Starbucks realize its full potential. This statement suggests a significant development in Starbucks' corporate strategy and governance, potentially impacting its future direction and shareholder value.
Starbucks (NASDAQ: SBUX) has announced a significant leadership change. Brian Niccol, currently Chairman and CEO of Chipotle, will become Starbucks' new Chairman and CEO, effective September 9, 2024. Niccol's appointment follows the immediate departure of Laxman Narasimhan from his roles as CEO and board member.
During the transition, Rachel Ruggeri, Starbucks' CFO, will serve as interim CEO. Mellody Hobson, current board chair, will transition to lead independent director. Niccol's track record at Chipotle includes nearly doubling revenue, increasing profits sevenfold, and driving an 800% stock price increase while improving employee benefits and wages.
Starbucks (NASDAQ: SBUX) reported Q3 fiscal 2024 results with consolidated net revenues of $9.1 billion, down 1% year-over-year but up 1% in constant currency. GAAP and Non-GAAP EPS were $0.93, declining 6% and 7% respectively. Global comparable store sales declined 3%, with a 5% decrease in transactions partially offset by a 2% increase in average ticket. The company opened 526 net new stores, ending with 39,477 stores globally. U.S. Starbucks Rewards membership grew 7% year-over-year to 33.8 million.
Key challenges included declining comparable store sales in North America (-2%) and International (-7%), with China experiencing a 14% decline. Operating margins contracted due to increased promotional activity and investments in wages and benefits. However, the company's three-part action plan and efficiency efforts are showing progress in offsetting headwinds.
Starbucks (Nasdaq: SBUX) has announced its plans to release Q3 fiscal year 2024 financial results after market close on Tuesday, July 30, 2024. A conference call will follow at 2:00 p.m. Pacific Time, which will be webcast and accessible on the company's investor relations website. The webcast replay will be available until September 13, 2024.
Starbucks, founded in 1971, is the world's leading specialty coffee roaster and retailer, with nearly 39,000 stores worldwide. The company emphasizes its commitment to ethically sourcing and roasting high-quality arabica coffee, as well as providing a unique customer experience.
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