Strong Holiday Performance Drives 9% Comp Growth in the U.S. and Americas, 8% Globally; Global Traffic up 4%
Consolidated Net Revenues Rise 12% to a Record $5.4 Billion; Channel Development Revenues Jump 16%
Consolidated Operating Income up 16% to a Record $1.1 Billion; GAAP EPS of $0.46;
Non-GAAP EPS up 15% to a Record $0.46 Dollars Loaded on Starbucks Cards Increase 18% to a Record $1.9 Billion
SEATTLE; January 21, 2016 – Starbucks Corporation (NASDAQ: SBUX) today reported financial results for its 13-week fiscal first quarter ended December 27, 2015. Fiscal 2016 and fiscal 2015 GAAP results include items which are excluded from non-GAAP results. Please refer to the reconciliation of GAAP measures to non-GAAP measures at the end of this release for more information.
Q1 Fiscal 2016 Highlights:
- Global comparable store sales increased 8%, including a 4% increase in traffic
Americas comp store sales increased 9%, including a 4% increase in traffic
China/Asia Pacific comp store sales increased 5%, driven by a 4% increase in traffic
EMEA comp store sales increased 1%, driven by a 1% increase in traffic
- Consolidated net revenues grew 12% over Q1 FY15, to a record $5.4 billion
- Consolidated GAAP operating income increased 16% over Q1 FY15, to a record $1.1 billion
Non-GAAP operating income increased 15% over Q1 FY15 non-GAAP, to a record $1.1 billion
- Consolidated GAAP operating margin increased 60 basis points over Q1 FY15, to a Q1 record 19.7%
Non-GAAP operating margin expanded 40 basis points over Q1 FY15 non-GAAP, to a Q1 record 19.9%
- GAAP EPS of $0.46 versus Q1 FY15 GAAP EPS of $0.65
Non-GAAP EPS increased 15% over Q1 FY15 non-GAAP, to a record $0.46
- Opened 528 net new stores in the quarter globally, including a record 281 stores in China/Asia Pacific and a record 79 stores in EMEA
- Channel Development revenues increased 16%; operating margin expanded 210 basis points and operating income increased 23% over Q1 FY15
- Company served over 23 million more customer occasions from its global comp store base - 18 million in the U.S. - in Q1 over the prior year
- Record $1.9 billion loaded on Starbucks Cards in the U.S. and Canada; 1 in 6 American adults received a Starbucks Card over Holiday, up from 1 in 7 in Q1 FY15
- Membership in the company's My Starbucks Rewards loyalty program increased 23%; the company now has more than 11 million active members in the U.S.
“Starbucks record Q1 2016 financial and operating results, highlighted by comp sales increases of 9% in the U.S., 8% globally, another 4% increase in global traffic - and record performance from our Channel Development segment - underscore the accelerating strength and relevance of the Starbucks brand around the world,” said Howard Schultz, Starbucks chairman and ceo. “Successful retail, CPG, digital, mobile, loyalty, card and investment strategies are combining to accelerate our revenue growth and drive significant margin expansion and EPS leverage.”
“We’ve entered fiscal 2016 with another record-breaking quarter and a continuation of the accelerating momentum we saw in our business throughout 2015,” said Scott Maw, Starbucks cfo. “The investments we are making in our people and our business are driving record, industry leading operating and financial performance and consistently strong comp growth, and are both paying off today and setting us up for continued strong performance into the future."