Starbucks said its turnaround efforts are bringing more customers to its cafes https://t.co/2KJ0wKanpq ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended December 28, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to . Commission File Number: 000-20322 Starbucks Corporation (Exact Name of Registrant as Specified in its Charter) Washington 91-1325671 (State or Ot ...

Starbucks (SBUX) posted its first quarter of North America and US same-store sales growth in two years on Wednesday as the company continues its turnaround efforts under CEO Brian Niccol. In its fiscal first quarter ended Dec. 28, Starbucks reported US and North America same-store sales rose 4%, topping estimates for a 2% rise. The increase was driven a 3% increase in foot transactions and a 1% increase in the average ticket. Starbucks last reported positive same-store sales for its US and North Ameica ...

Core Insights - Starbucks reported its first quarter of same-store sales growth in North America and the US in two years, with a 4% increase, surpassing the expected 2% rise [1][2] - The company’s CEO, Brian Niccol, highlighted that the turnaround strategy is effective, driven by initiatives like the viral Bearista Cup and healthier food options [2] - Global same-store sales also increased by 4%, exceeding the anticipated 2% growth [4] Financial Performance - For the fiscal first quarter ended December 28, Starbucks reported adjusted earnings per share of $0.56, slightly below the forecast of $0.59, while revenue reached $9.9 billion, exceeding expectations of $9.65 billion [5] - The company anticipates same-store sales growth for the full fiscal year to be 3% or better, with US same-store sales growth also expected to be 3% or better [7] Market Expansion and Strategy - Same-store sales in China rose by 7%, outperforming the expected 2.5% increase, with foot traffic up by 5% and average ticket size up by 2% [3] - Starbucks sold a majority stake in its China business to Boyu Capital for a valuation of $4 billion, which is expected to enhance its market presence [3][4] - The company plans to introduce more health and wellness options and an "afternoon platform" with new product offerings [6] Management Commentary - CFO Cathy Smith emphasized the momentum in business performance and the focus on sustainable, profitable long-term growth [8]

Exhibit 99.1 Starbucks Reports Q1 Fiscal Year 2026 Results Q1 Comparable Store Sales Accelerate to 4% Globally and in the U.S., Led by Transactions Company Delivers U.S. Comparable Transaction Growth for the First Time in Eight Quarters Q1 Consolidated Net Revenues Up 6% to $9.9 Billion Q1 GAAP EPS $0.26, Non-GAAP EPS $0.56 Company Introduces Fiscal Year 2026 Guidance SEATTLE; January 28, 2026 – Starbucks Corporation (Nasdaq: SBUX) today reported financial results for its 13-week fiscal first quarter ended ...

Group 1 - The coffee chain reported a 4% increase in U.S. same-store sales in the latest quarter, marking a return to growth for the first time since late 2023 [1]

Core Insights - Starbucks Corporation reported financial results for its fiscal first quarter ended December 28, 2025, indicating that the "Back to Starbucks" strategy is yielding positive results with increased customer engagement and sales momentum [3][6]. Q1 Fiscal Year 2026 Highlights - Net revenues for the North America segment increased by 3% year-over-year to $7.3 billion, driven by a 4% increase in comparable store sales, which included a 3% rise in transactions and a 1% increase in average ticket [6][9]. - Operating income for the North America segment decreased to $867 million, with an operating margin of 11.9%, down from 16.7% in the prior year, primarily due to labor investments and inflationary pressures [7][9]. - The International segment saw net revenues rise by 10% to $2.1 billion, supported by a 5% increase in comparable store sales and a 19% increase in operating income to $282.7 million [11][12]. - The Channel Development segment reported a 20% increase in net revenues to $522.7 million, attributed to growth in the Global Coffee Alliance and ready-to-drink business [13][14]. Company Update - Starbucks announced a joint venture with Boyu Capital to operate its retail in China, with Boyu acquiring up to a 60% interest, while Starbucks retains a 40% interest [20]. - The company appointed Anand Varadarajan as chief technology officer effective January 19, 2026 [20]. - A cash dividend of $0.62 per share was declared, reflecting the company's commitment to consistent value creation for shareholders [20]. Fiscal Year 2026 Guidance - The company anticipates global and U.S. comparable store sales growth of 3% or greater, with consolidated net revenues growing at a similar rate [20]. - Non-GAAP consolidated operating margin is expected to slightly improve year-over-year, with earnings per share projected in the range of $2.15 to $2.40 [20].

Market Overview - U.S. stock markets are experiencing a pivotal moment with anticipation surrounding the Federal Reserve's interest rate decision and earnings reports from major technology companies [1] - Premarket trading shows a mixed but generally upward trend, with S&P 500 Futures up 0.3% to 7,028.75 points and Nasdaq 100 Futures up 0.6% to 26,228.75 points, while Dow Jones Futures remain flat at 49,159.0 points [2] Semiconductor Industry - U.S. chip stocks are seeing notable gains, with Nvidia increasing by 1.7%, AMD rising by 1.4%, and Intel climbing 4.6%, reflecting strong investor confidence in AI and advanced computing [3] Major Market Indexes - The S&P 500 Index closed at a record high of 6,978.60 points, a 0.41% increase, driven by strength in chipmakers and AI infrastructure stocks, particularly Micron Technology, which announced a $24 billion investment in Singapore [4] - The Dow Jones Industrial Average closed at 49,003.41 points, down 0.83%, primarily due to weakness in the healthcare sector, with UnitedHealth Group forecasting a revenue decline for 2026 [5] - The Nasdaq Composite Index closed up 0.91% at 23,817.10 points, reaching a 2.75-month high, with nearly 30% year-over-year growth attributed to AI advancements [6] Upcoming Market Events - The Federal Reserve is expected to hold its key interest rate steady within the 3.5%-3.75% target range, following three consecutive rate cuts in late 2025, with a focus on the labor market and consumer spending [7] - Major earnings reports are anticipated from tech giants Meta Platforms and Microsoft, which will provide insights into the technology sector's health and AI investments [13] Company News - Infosys announced a strategic AI-focused collaboration, indicating ongoing investment in AI solutions [14] - Boeing's CEO outlined a turnaround plan after six consecutive annual losses, addressing operational challenges [14] - HSBC is scaling back its M&A and equities businesses in Europe, the UK, and the Americas to focus on Asian operations [14] - JetBlue Airways reported a significant Q4 loss and provided weaker-than-expected revenue guidance, raising concerns about profitability [14] - RTX Corporation delivered higher-than-expected Q4 results, showcasing strong growth across its business segments [14]

Market Overview - U.S. stock futures rose on Wednesday following a mixed close on Tuesday, with major benchmark indices showing higher futures [1] - The CME Group's FedWatch tool indicates a 97.2% likelihood of the Federal Reserve keeping interest rates unchanged in January [2] - The 10-year Treasury bond yielded 4.24%, while the two-year bond was at 3.57% [2] Index Performance - Dow Jones increased by 0.04%, S&P 500 by 0.30%, Nasdaq 100 by 0.74%, and Russell 2000 by 0.40% in premarket trading [2] - The SPDR S&P 500 ETF Trust (NYSE:SPY) was up 0.33% at $697.77, and Invesco QQQ Trust ETF (NASDAQ:QQQ) advanced 0.77% to $635.96 [2] Stocks in Focus - Starbucks Corp. (NASDAQ:SBUX) was down 0.76% in premarket, projected to post quarterly earnings of $0.59 per share on revenue of $9.73 billion [4] - Microsoft Corp. (NASDAQ:MSFT) rose 0.087% ahead of earnings expected to be $3.97 per share on revenue of $80.27 billion [4] - Tesla Inc. (NASDAQ:TSLA) advanced 0.23%, projected to post quarterly earnings of $0.45 per share on revenue of $24.78 billion [4] - Seagate Technology Holdings PLC (NASDAQ:STX) jumped 10.02% after reporting better-than-expected revenue and earnings, along with strong guidance [4] Economic Insights - Jeffrey Roach, Chief Economist at LPL Financial, forecasts a resilient U.S. economy in 2026, with real economic growth projected at 2.5% year-over-year and nominal growth surpassing 5% [8] - Roach emphasizes that productivity growth, particularly from early AI adoption, will support economic expansion without reigniting inflation [8] - His team maintains a "tactical neutral stance on equities," favoring large-cap growth stocks and the communication services sector [9] Upcoming Economic Data - The FOMC will announce its interest-rate decision at 2:00 p.m., followed by a press conference from Fed Chair Powell at 2:30 p.m. ET [10] Commodities and Global Markets - Crude oil futures were down 0.22% to around $62.25 per barrel, while Gold Spot rose 1.75% to approximately $5,272.90 per ounce [11] - Bitcoin (CRYPTO: BTC) was trading 1.52% higher at $89,223.76 per coin [13]

Market Sentiment - The CNN Money Fear and Greed index improved to a reading of 63.6, remaining in the "Greed" zone, up from 58.9 [6] - U.S. stocks showed mixed results, with the Dow Jones falling over 400 points while the Nasdaq Composite gained over 200 points [1] Company Performance - General Motors Co. (NYSE:GM) saw a surge of more than 8% after exceeding forecasts and providing positive guidance for 2026 [2] - Boeing Co. (NYSE:BA) reported fourth-quarter revenue of $23.948 billion, a 57% increase from $15.242 billion, but its stock fell around 1.5% [2] Economic Indicators - The Case-Shiller Home Price Index rose by 1.4% year-over-year in November, surpassing October's growth of 1.3% and market estimates of 1.2% [3] - The FHFA house price index increased by 0.6% in November, exceeding market expectations of a 0.3% gain [3] Sector Performance - Most sectors on the S&P 500 closed positively, with energy, information technology, and utilities stocks showing the largest gains [4] - Health care and financial stocks closed lower, bucking the overall market trend [4] Upcoming Earnings - Investors are anticipating earnings results from Microsoft Corp. (NASDAQ:MSFT), Tesla Inc. (NASDAQ:TSLA), and Starbucks Corp. (NASDAQ:SBUX) [5]