Starbucks ( (SBUX) ) has released its Q4 earnings. Here is a breakdown of the information Starbucks presented to its investors.
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Starbucks Corporation, a leading global roaster and retailer of specialty coffee, has reported its financial results for the fourth quarter and full fiscal year 2025, showcasing a return to global comparable store sales growth for the first time in seven quarters.
In the latest earnings report, Starbucks highlighted a 5% increase in consolidated net revenues for Q4, reaching $9.6 billion, while the GAAP earnings per share stood at $0.12, reflecting an 85% decline from the previous year. The company’s ‘Back to Starbucks’ strategy is gaining traction, with U.S. comparable store sales stabilizing and international sales showing a 3% increase.
Key financial metrics reveal that while global comparable store sales increased by 1% in Q4, driven by a rise in transactions, the operating margin contracted significantly due to restructuring costs and investments in labor hours. The company closed 107 stores in Q4 as part of its restructuring plan, with a significant focus on North America. Despite these challenges, Starbucks reported a 3% increase in full fiscal year net revenues to $37.2 billion.
Moving forward, Starbucks management remains optimistic about its multi-year turnaround strategy, focusing on sustainable growth and long-term shareholder value. The company aims to continue driving top-line growth while managing controllable costs to enhance profitability.