Starbucks (SBUX) investor relations material

Executive summary

• Achieved four consecutive quarters of global comparable sales growth and two consecutive quarters of margin expansion, with Q3 global comparable store sales up 7.9% and brand metrics at five-year highs.

• Q3 consolidated net revenues declined 1% year-over-year to $9.3 billion, mainly due to the China transition, but international licensed store revenues increased.

• EPS grew 70% year-over-year to $0.85 (non-GAAP) and 86% to $0.91 (GAAP), with net earnings attributable to shareholders up 87% to $1,045.3 million.

• Surpassed 1,000 coffeehouse uplifts in North America, ahead of the fiscal 2026 goal, and transitioned China retail operations to a joint venture license structure.

• The China divestiture resulted in a $536.3M pre-tax gain and proceeds were used for debt reduction.

Financial highlights

• Global comparable store sales increased 7.9% in Q3 FY26, with North America up 8.1% and International up 5.7%.

• Q3 consolidated net revenues were $9.3 billion, down 1% year-over-year; consolidated operating margin expanded 430 bps YoY to 14.4% (non-GAAP) and 60 bps to 10.5% (GAAP).

• Diluted EPS was $0.91 (GAAP) and $0.85 (non-GAAP), both up significantly year-over-year.

• Channel Development revenues grew 22% to $587.9 million, with operating margin up 700 bps to 52.1%.

• Opened 175 net new stores in Q3, ending with 41,304 stores globally.

Outlook and guidance

• Raised full-year 2026 guidance: U.S. Q4 comp growth expected at 6.5% or better, full-year U.S. comp growth above 6%, and global comp growth nearing 6%.

• Fiscal 2026 consolidated net revenues expected to be flat to slightly higher year-over-year; consolidated margin guidance raised to over 11%.

• EPS guidance increased to $2.55–$2.65; 600–650 net new coffeehouse openings expected in fiscal 2026, mainly driven by international growth.

• $2 billion cost savings plan on track through fiscal 2028; restructuring plans to complete by H1 2027 with $230M in additional charges expected.

• Macroeconomic pressures, including tariffs and coffee pricing, are expected to ease into Q4 2026.