Starbucks Delivers Record Q2 Revenue and EPS

Comp Store Sales Rise 7% Globally; 7% in the Americas and 12% in CAP; Global Traffic Up 3%

Net Revenues Rise 18% to a Q2 Record $4.6 Billion

GAAP Operating Income Up 21% to a Q2 Record $778 Million; Non-GAAP Operating Income Up 23% to $789 Million

Channel Development Revenues Up 16% and Operating Income Up 23%

Earnings Per Share Jump 18% to a Split-Adjusted Q2 Record $0.33 Per Share

SEATTLE; April 23, 2015 – Starbucks Corporation (NASDAQ: SBUX) today reported financial results for its 13-week fiscal second quarter and 26-week fiscal year to date ended March 29, 2015. All per-share data has been adjusted for the stock split announced on March 18, 2015 and effected on April 9, 2015. Q2 FY15 GAAP results include Starbucks Japan acquisition-related items; non-GAAP results exclude these items. Please refer to the reconciliation of GAAP measures to non-GAAP measures at the end of this release.

Q2 Fiscal 2015 Highlights:

  • Global comparable store sales increased 7%, with a 3% increase in traffic

Americas comp sales increased 7%, with a 2% increase in traffic

CAP comp sales increased 12%, driven by a 10% increase in traffic

EMEA comp sales increased 2%, driven by a 2% increase in traffic

• Consolidated net revenues increased 18% to $4.6 billion

• Channel Development revenues grew 16% to $428.0 million

• Consolidated operating income of $777.5 million, up 21% over Q2 of FY14

Non-GAAP operating income of $789.4 million, up 23% over Q2 of FY14

• Consolidated operating margin of 17.0% increased 40 basis points over Q2 of FY14

Non-GAAP operating margin of 17.3% increased 70 basis points over Q2 of FY14

• GAAP and non-GAAP earnings per share of $0.33, up 18% over Q2 of FY14

• The company opened 210 net new stores in Q2, including its 5,000th store in China/Asia Pacific, bringing total stores worldwide to 22,088

• Year over year comp store transactions increased over 10 million in the U.S., over 14 million globally

• The company added a record 1.3 million new My Starbucks Rewards members in Q2 - bringing total active membership to 10.3 million - and realized a Q2 record $1.1 billion in Starbucks Card loads

View detailed financial data here

“Starbucks record financial and operating performance in Q2 was driven by our people all around the world yet woven together by one common thread - industry leading partner (employee) facing and customer facing innovation,” said Howard Schultz, Starbucks chairman and ceo. “Innovation is the force that will continue to drive our business and enable us to expand and increase revenues and profits - always through the lens of humanity - long into the future."

“Starbucks Q2 represented another quarter of strong revenue growth and record operating and financial performance all around the world, and despite significant foreign exchange headwinds” said Scott Maw, Starbucks cfo. “As we enter the second half of 2015 - and look to the future - we are ideally positioned to continue benefiting from the investments we are making in our people, in innovation and in our stores - and to continue delivering world class returns to our shareholders.”