Starbucks Corporation Reports Unaudited Consolidated Earnings Results for the First Quarter Ended December 27, 2015; Reiterates Earnings Guidance for the Full Fiscal Year 2016
January 21, 2016 at 04:04 pm
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Starbucks Corporation reported unaudited consolidated earnings results for the first quarter ended December 27, 2015. For the quarter, the company's total net revenues were $5,373.5 million against $4,803.2 million a year ago. The increase was primarily driven by an 8% increase in global comparable store sales and the opening of 1,693 net new stores over the past 12 months. Operating income was $1,058.0 million against $915.5 million a year ago. The increase was primarily due to sales leverage and was partially offset by investments in partners (employees) and digital platforms. Earnings before income taxes were $1,049.6 million against $1,299.5 million a year ago. Net earnings attributable to the company were $687.6 million against $983.1 million a year ago. Net earnings per common share diluted were $0.46 against $0.65 a year ago. Non-GAAP operating income was $1,070.3 million against $934.8 million a year ago. Non-GAAP net earnings per share were $0.46 against $0.40 a year ago.
The company reiterated its earnings guidance for the full fiscal year 2016. For the year, the company expects consolidated revenue growth of 10%, operating margin to increase slightly versus prior year, consolidated tax rate to be between 34% and 35%, GAAP EPS in the range of $1.84 to $1.86, Non-GAAP EPS in the range of $1.87 to $1.89, GAAP EPS in the range of $0.37 to $0.38, Non-GAAP EPS in the range of $0.38 to $0.39 and capital expenditures of approximately $1.4 billion.
Starbucks Corporation specializes in owning and operating coffee shops. The group also develops a coffee roasting activity. Net sales break down by source of revenue as follows:
- sales within company-operated coffee shops (81.9%): as of October 1st, 2023, owned a network of 19,592 coffee shops under the Starbucks Coffee®, Teavana®, Ethos®, Starbucks Reserve® and Princi® brands;
- sales within licensed stores (12.5%): 18,446 licensed stores located primarily in the United States (6,701), Korea (1,870), Latin America (1,649) and the United Kingdom (911);
- other (5.6%): sales of coffee, beverages and food products for companies, hotels, hospitals, airlines, etc.
Net sales break down by family of products between beverages (60.3%), food (18.3%) and other (21.4%).
Net sales are distributed geographically as follows: the United States (73.4%), China (8.6%) and other (18%).
Starbucks Corporation Reports Unaudited Consolidated Earnings Results for the First Quarter Ended December 27, 2015; Reiterates Earnings Guidance for the Full Fiscal Year 2016