Starbucks Corporation Reports Unaudited Consolidated Earnings Results for the First Quarter Ended December 28, 2014; Reaffirms Earnings Guidance for the Second Quarter and Full Fiscal Year 2015; to Open 1,650 New Stores in Fiscal Year 2015
January 22, 2015 at 04:10 pm
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Starbucks Corporation reported unaudited consolidated earnings results for the first quarter ended December 28, 2014. For the quarter, the company's total net revenues were $4,803.2 million against $4,239.6 million a year ago. Operating income was $915.5 million against $813.5 million a year ago. Earnings before income taxes were $1,299.5 million against $818.8 million a year ago. Net earnings attributable to the company were $983.1 million against $540.7 million a year ago. Net earnings per common share diluted were $1.30 against $0.71 a year ago. Non-GAAP operating income was $934.8 million against $793.3 million a year ago. Non-GAAP net earnings per share were $0.80 against $0.69 a year ago.
The company reaffirmed earnings guidance for the second quarter and full fiscal year 2015. For the second quarter, GAAP EPS is expected to be in the range of $0.63 to $0.64. Non-GAAP EPS is expected to be in the range of $0.64 to $0.65.
For the full fiscal year 2015, GAAP EPS is now expected to be in the range of $3.53 to $3.58. Non-GAAP EPS is now expected to be in the range of $3.09 to $3.13. The company expects revenue growth of 16% to 18% and global comparable store sales growth of mid-single digits. GAAP operating margin is expected to be mildly dilutive versus fiscal year 2014 due to the impact of the company's ownership change in Starbucks Japan. Non-GAAP operating margin is expected to be flat to slightly up over prior year non-GAAP operating margin. The company expects consolidated tax rate of approximately 31%.
For the full year 2015, the company targets new store openings of 1,650.
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 28, 2014; Reaffirms Earnings Guidance for the Second Quarter and Full Fiscal Year 2015; to Open 1,650 New Stores in Fiscal Year 2015