🔹 Revenue: $9.4B (Est. $9.42B) 🟡; Flat YoY
🔹 EPS: $0.69 (Est. $0.67)🟢 ; DOWN -23% YoY
🔹 Operating Margin: 11.9% (Contracted 390 bps YoY)
🔹 Global Comparable Store Sales: DOWN -4% YoY (Est. -4.06%)
Segment Highlights:
North America Segment
🔹 Revenue: $7.07B; DOWN -1% YoY
🔹 Comparable Store Sales: DOWN -4% YoY
🔹 Transactions: DOWN -8% YoY
🔹 Ticket Size: UP +4% YoY
🔹 Operating Income: $1.18B; DOWN -22% YoY
🔹 Operating Margin: 16.7% (Contracted 470 bps YoY)
International Segment
🔹 Revenue: $1.87B; UP +1% YoY
🔹 Comparable Store Sales: DOWN -4% YoY
🔹 Transactions: DOWN -2% YoY
🔹 Ticket Size: DOWN -2% YoY
🔹 Operating Income: $237M; DOWN -2% YoY
🔹 Operating Margin: 12.7% (Contracted 40 bps YoY)
Channel Development Segment
🔹 Revenue: $436M (Est. $516M); DOWN -3% YoY
🔹 Operating Income: $208M; DOWN -1% YoY
🔹 Operating Margin: 47.7% (Expanded 90 bps YoY)
Operational Metrics:
🔹 North America: DOWN -4% YoY
🔹 International: DOWN -4% YoY
🔹 China Comparable Store Sales: DOWN -6% YoY
🔹 Ticket Size: DOWN -4% YoY
🔹 Transactions: DOWN -2% YoY
🔹 Net New Stores: 377 in Q1, totaling 40,576 stores globally
🔹 U.S. and China Stores: Account for 61% of the portfolio
🔹 Starbucks Rewards Membership: 34.6M active members, UP +1% YoY, UP +2% QoQ
Strategic and Business Updates:
🔸 Announced enhancements to U.S. retail store partners' benefits, including doubling paid parental leave for employees working 20+ hours weekly, effective March 2025.
🔸 Launched the "Back to Starbucks" initiative, focusing on improving customer experiences, operational efficiency, and partner engagement.
🔸 Introduced a new mission statement: “To be the premier purveyor of the finest coffee in the world, inspiring and nurturing the human spirit — one person, one cup, and one neighborhood at a time.”
🔸 Declared a cash dividend of $0.61 per share, payable February 28, 2025, marking 59 consecutive quarters of dividends.