In brief
Starbucks' fourth‑quarter revenue fell 4.5% YoY to $9.14 billion, while net income surged 408.8% to $677.2 million, helped by sharp cuts in restructuring and impairment costs. Global comparable sales rose 7.2% and the company plans to add 1,200 coffeehouses worldwide despite a modest forecast for 2027 revenue decline.
According to Xinhua, Starbucks added a 4.5 % drop in fourth‑quarter revenue to $9.14 billion, while net income leapt 408.8 % to $677.2 million, a rise largely driven by a drop in restructuring and impairment costs.
The drop was chiefly the result of the company converting its China retail chain to a licensed joint‑venture model, which weakened international sales but lifted global comparable coffeehouse sales to 7.2 %. In North America comparable sales grew 7.9 %, and revenue from that segment rose 6 % to $7.33 billion.
Despite the revenue dip, Starbucks opened a net 303 new coffeehouses during the quarter, bringing its worldwide store count to 41,607 and positioning for a planned 1,200 new openings worldwide in the next fiscal year.
Operating income jumped 256.5 % to $991.8 million, with an operating margin expanding from 2.9 % to 10.8 %. Diluted earnings per share rose from $0.12 to $0.59, and non‑GAAP adjusted EPS increased 53.8 % to $0.80.
Looking ahead, the company projects roughly a 1 % decline in fiscal 2027 revenue, largely reflecting the China transition, but expects 4 % growth in North American comparable sales and will continue opening new stores worldwide.
