---
title: "Starbucks Reports Mixed Quarterly Results with U.S. Operations Showing Improvement"
url: https://noti.group/starbucks-reports-mixed-quarterly-results-with-u-s-operations-showing/
language: en
publisher: "Noti Group"
section: "Business"
published: 2026-10-29T21:29:59.000Z
updated: 2026-10-30T05:35:38.473Z
id: 5da2d18c-bbf3-4343-ad5f-df70a6a39ea9
source: "CNBC https://www.cnbc.com/2026/10/29/starbucks-sbux-q4-2026-earnings.html"
attribution: "Link to https://noti.group/starbucks-reports-mixed-quarterly-results-with-u-s-operations-showing/ and name Noti Group when you quote or summarize this story."
---

# Starbucks Reports Mixed Quarterly Results with U.S. Operations Showing Improvement

The coffee giant reported a decline in international revenue but saw an increase in global same-store sales.

Starbucks has reported mixed quarterly results, but there are positive signs for the company's U.S. operations.

The coffee giant's international cafes failed to meet expectations, while its home market in the United States performed better than anticipated during the final quarter of fiscal 2026.

CEO Brian Niccol expressed optimism about Starbucks' future prospects, stating that the company is "ahead of schedule to achieve its goals for fiscal 2028. This was revealed on a video shared on the company's website and during an earnings conference call with investors.

The company has set ambitious targets for fiscal 2027, including adjusted earnings per share in the range of $3.15 to $3.25, exceeding Wall Street's expectations of $3.14. However, Starbucks' projected revenue decline of 1% is weaker than anticipated, as analysts had forecasted net sales growth of 1.4%.

Starbucks is expecting a 4% increase in North American same-store sales for the fiscal year, with factors such as an additional week and changes to its China business model influencing the company's earnings and revenue outlook.

Shares of Starbucks have taken a hit in after-hours trading, dropping nearly 2% as investors await the full picture from the company's latest quarterly results.

The coffee giant reported net income attributable to the company for its fiscal fourth-quarter at $677.2 million, with earnings per share coming in at 59 cents. This marks a significant improvement over the same period last year, when net income stood at $133.1 million and earnings per share were just 12 cents.

On an adjusted basis, excluding one-time costs and other items, Starbucks' earnings per share reached 80 cents for the quarter. However, the company's overall revenue took a hit, falling by 4% to $9.14 billion due in part to its joint venture deal in China.

Despite this dip in revenue, Starbucks' global same-store sales showed remarkable growth, increasing by 7.2%. This exceeded analysts' expectations of 6%, according to StreetAccount, with the company's average ticket size and transaction numbers also on the rise. In the US market, same-store sales grew even more strongly at 7.7%.

Under its Back to Starbucks" strategy, the company has been working to revamp its service, make its cafes more welcoming and refine its marketing efforts. The changes appear to be paying off, with customers responding positively to the revamped experience.

The international comparable sales growth for Starbucks outside of North America was 0.9%, which fell short of analyst estimates. This modest increase was due to a combination of declining traffic and rising average ticket prices. The gap between actual and expected performance is notable, given the projected growth rate.

In its efforts to adapt to changing market conditions, Starbucks has been transitioning its international business model from company-owned stores to licensed operations. This shift allows local operators to take charge, potentially improving customer experience and driving sales. The move was prompted by the transition of its China business into a joint venture.

The company's expansion plans remain on track, with 303 net new cafes opened during the quarter. As part of its turnaround strategy in North America, Starbucks announced plans to close approximately 1% of its locations, amounting to around 250 stores. This move aims to optimize store placement and improve customer satisfaction.

Starbucks has been investing heavily in revitalizing its U.S. and Canadian stores, with over 1,700 cafe uplifts completed by the end of its fiscal year. These makeovers typically include enhancements such as increased seating and softer lighting, which have been linked to higher transaction rates in locations that receive them.

---
Source: [CNBC](https://www.cnbc.com/2026/10/29/starbucks-sbux-q4-2026-earnings.html)  
Published by Noti Group: https://noti.group/starbucks-reports-mixed-quarterly-results-with-u-s-operations-showing/