Starbucks Reports Mixed Q3 Results Amid Turnaround Strategy
Starbucks delivered a bifurcated performance in its third-quarter earnings, with revenue exceeding expectations while earnings per share fell short. The $9.6 billion top-line figure surpassed analyst estimates by 2.7%, fueled by a 5% year-over-year sales increase. Notably, global same-store sales grew 1%—marking the first positive reading in seven quarters—driven by international markets while U.S. operations stabilized.
The coffee giant's 'Back to Starbucks' revitalization plan appears to be gaining traction, with CEO Brian Niccol citing improving consumer traction and new customer acquisition. September saw U.S. comparable sales turn positive after flat performance earlier in the quarter, defying Wall Street's projected 0.9% decline. This inflection point suggests operational adjustments may be overcoming earlier headwinds.
