Summary
Starbucks Corporation reported strong financial results for the first quarter of fiscal year 2024, ending December 30, 2023. Total net revenues saw an increase of 8.2% to $9.4 billion, driven by robust growth in both company-operated and licensed stores, particularly in North America and the International segment. This growth was fueled by a 5% increase in comparable store sales globally, with the U.S. market showing 5% growth and international markets achieving 7% growth. The company also demonstrated improved profitability, with operating margin increasing by 140 basis points to 15.8%, attributed to sales leverage and in-store operational efficiencies, despite increased investments in partner wages and benefits. The company continued its strategic store expansion, adding 1,475 net new company-operated stores and 942 net new licensed stores globally during the past 12 months. Net earnings attributable to Starbucks rose to $1.024 billion from $855.2 million in the prior year quarter. The company also returned significant capital to shareholders through dividends and share repurchases, reflecting confidence in its financial position and future outlook, underpinned by its "Triple Shot Reinvention with Two Pumps Plan."
Financial Highlights
53 data points| Revenue | $9.43B |
| Operating Expenses | $8.00B |
| Operating Income | $1.49B |
| Interest Expense | $140.10M |
| Net Income | $1.02B |
| EPS (Basic) | $0.90 |
| EPS (Diluted) | $0.90 |
| Shares Outstanding (Basic) | 1.14B |
| Shares Outstanding (Diluted) | 1.14B |
Key Highlights
- 1Total net revenues increased by 8.2% to $9.4 billion for the quarter.
- 2Global comparable store sales grew by 5%, with the U.S. up 5% and International up 7%.
- 3Operating margin improved by 140 basis points to 15.8%, driven by efficiencies and sales leverage.
- 4Net earnings attributable to Starbucks increased to $1.024 billion from $855.2 million in the prior year quarter.
- 5The company added 1,475 net new company-operated stores and 942 net new licensed stores globally in the past 12 months.
- 6Significant capital was returned to shareholders through $648.1 million in dividends and $1.267 billion in share repurchases.
- 7Company-operated store revenue grew by 9.5%, driven by comparable store sales and new store openings.