Starbucks returns to same‑store sales growth, led by international markets

Core Insights - Starbucks has reported a return to global comparable store sales growth, marking its first increase in seven quarters, with a 1% rise in comparable store sales across its global estate [1] - The US market experienced flat same-store sales overall but turned positive in September 2025, while international comparable store sales rose by 3% [2] - Consolidated net revenues for the quarter reached $9.6 billion, reflecting a 5% increase from the previous year [2] Financial Performance - North America net revenues increased by 3% year-on-year to $6.9 billion, although this was partially offset by a decline in the licensed store business [3] - The international segment's net revenues grew by 9% year-on-year to $2.1 billion [3] - Fiscal fourth-quarter net income attributable to Starbucks was $133.1 million, or $0.12 per share, down from $909.3 million, or $0.80 per share, a year earlier [5] Operational Changes - The company recorded a $1 billion charge for restructuring, which included the closure of 627 stores, primarily in North America, and the layoff of 900 employees [4] - The operating margin fell by 1,150 basis points year-on-year to 2.9%, mainly due to restructuring costs and inflation [5] - Starbucks ended the quarter with 40,990 stores globally, with the US and China accounting for 61% of its store footprint [6] Strategic Focus - The "Back to Starbucks" strategy, initiated by CEO Brian Niccol, aims to reduce operational complexity and enhance the in-store customer experience [4] - The company acknowledges that the turnaround is a multi-year process, focusing on driving topline growth while managing controllable costs [7]