Starbucks (SBUX) Q2 2022 Earnings

On Thursday, April 28, 2022, a pedestrian carries a Starbucks-branded mug in San Francisco, California, USA. Starbucks Corp.

David Paul Morris | Bloomberg | Getty Images

Starbucks Tuesday posted quarterly revenue that exceeded analysts’ expectations as sales growth in the United States offset sharp declines in China.

Stocks were up less than 1% on the ratio in extended trading.

Here’s what the company reported compared to what Wall Street expected, based on a survey of analysts from Refinitiv:

  • Earnings per share: 59 cents adjusted, in line with expectations
  • Revenue: $ 7.64 billion versus an expected $ 7.6 billion

The coffee giant reported a second-quarter fiscal net profit attributable to Starbucks of $ 674.5 million, or 58 cents per share, compared to $ 659.4 million, or 56 cents per share, the year before.

Excluding the articles, Starbucks earned 59 cents per share, in line with estimates by analysts interviewed by Refinitiv.

Net sales increased 14.5% to $ 7.64 billion, exceeding expectations of $ 7.6 billion.

Global sales in the same store increased 7% in the quarter, fueled by strong growth in the United States. Same-store sales in the US increased 12%, as customers spent more on order and visited more often.

Outside of the United States, it was a sad quarter for Starbucks. International sales in the same stores fell 8%, dragged down by sharp drops in China, the company’s second largest market. Sales at the same Chinese stores fell 23% in the quarter as the country reset lockdowns following the Covid outbreaks.

The company also said in the earnings release that it would announce investments in its employees, stores and brand and would share its fiscal financial goals for 2022 during the conference call with analysts. Last quarter, it said it expects GAAP earnings per share to decrease by a range of 4% to 6% and adjusted earnings per share will increase 8% to 10% during the fiscal year.

Read the full earnings report here.

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