Starbucks posts record Q3 results, same-store sales surge in US

Starbucks posts record Q3 results, same-store sales surge in US

·Correspondent
Tue, July 27, 2021, 11:32 PM·2 min read

Starbucks (SBUX) delivered record fiscal third-quarter earnings results on Tuesday, with revenue surging 78% from a year ago during the depths of the COVID-19 pandemic.

Here were the key figures versus the expectations for the second quarter, according to analysts polled by Bloomberg.

  • Revenue (adjusted): $7.5 billion, vs. $7.3 billion expected
  • Earnings per share (adjusted): $1.01, vs. 78 cents expected

“Starbucks delivered record performance in the third quarter, demonstrating powerful momentum beyond recovery. Our ability to move with speed and agility and to be out in front of shifting customer behaviors has helped further differentiate Starbucks, positioning us well for this moment,” CEO Kevin Johnson said in the release.

For the fiscal quarter ended June 27, the closely-followed comparable-store sales were up 73% globally, compared to estimates of 69.6%.

In the U.S., same-store sales surged 84% from a year ago, while international sales were up 41%. In China, comparable-store sales were 19%.

Also in the U.S., Starbucks cold beverages accounted for 74% of beverage sales, a new record.

Elsewhere, during the fiscal third quarter, 90-day active users on the Starbucks Rewards app in the U.S. were up 48% from a year ago to 24.2 million. In China, active rewards members rose 71% to 17 million users.

Starbucks also raised its full-year fiscal 2021 EPS guidance, projecting adjusted EPS in a range of $3.20 to $3.25, up from prior guidance of a range of $2.90 to $3.

In the quarter, Starbucks opened 352 net new stores. Starbucks store footprint now stands at a record 33,295 globally, with 5,135 stores in China and 15,348 in the U.S., accounting for 62% of the total store portfolio.

Shares of Starbucks dropped nearly 3% in the after-hours session to last trade near $122.14.

Julia La Roche is a Correspondent at Yahoo Finance. Follow her on Twitter.