Seattle / WA. (sc) Starbucks Corporation reported results for its 13-week fiscal second quarter ended April 03, 2022. GAAP results in fiscal 2022 and fiscal 2021 include items that are excluded from non-GAAP results.
Q2 Fiscal 2022 Highlights
- Global comparable store sales increased 7 percent, driven by a 4 percent increase in average ticket and a 3 percent increase in comparable transactions
- North America and U.S. comparable store sales increased 12 percent, driven by a 7 percent increase in average ticket and a 5 percent increase in comparable transactions
- International comparable store sales decreased 8 percent, driven by a 5 percent decline in average ticket and a 3 percent decline in comparable transactions; China comparable store sales decreased 23 percent, driven by a 20 percent decline in comparable transactions and a 4 percent decline in average ticket
- International and China comparable store sales include the unfavorable impact of approximately 3 percent and 4 percent, respectively, from lapping prior-year value-added tax («VAT») exemptions in China
- The company opened 313 net new stores in Q2, ending the period with 34,630 stores globally: 51 percent company-operated and 49 percent licensed
- At the end of Q2, stores in the U.S. and China comprised 61 percent of the company’s global portfolio, with 15,544 stores in the U.S and 5,654 stores in China
- Consolidated net revenues up 15 percent to a Q2 record USD 7.6 billion
- GAAP operating margin of 12.4 percent decreased 240 basis points from 14.8 percent in the prior year, primarily driven by inflationary pressures, mobility restrictions and lockdowns in China and investments in retail store partner wages and benefits, partially offset by pricing in North America and lapping restructuring costs in the prior year
- Non-GAAP operating margin of 13.0 percent decreased from 16.0 percent in the prior year
- GAAP earnings per share of USD 0.58 grew 4 percent over the prior year
- Non-GAAP earnings per share of USD 0.59, down from USD 0.61 in the prior year
- Rewards loyalty program 90-day active members in the U.S. increased to 26.7 million, up 17 percent year-over-year
«We are single-mindedly focused on enhancing our core U.S. business through our partner, customer and store experiences. Given record demand and changes in customer behavior we are accelerating our store growth plans, primarily adding high-returning drive-thrus, and accelerating renovation programs so we can better meet demand and serve our customers where they are,» said Howard Schultz, interim chief executive officer. «The investments we are making in our people and the company will add the capacity we need in our U.S. stores today and position us ahead of the coming growth curve ahead,» Schultz added.
«We are confident that the investments in our partners, our stores and our brand that we announced today will deliver returns in excess of historic levels and accelerate our growth long into the future,» commented Rachel Ruggeri, chief financial officer.