Q3 Comp Store Sales Up 5% in the U.S. and Americas, 7% in China and 4% Globally
Consolidated Net Revenues Up 8% to Q3 Record $5.7 Billion
GAAP Earnings Per Share Total $0.47; Non-GAAP Earnings Per Share Expand to $0.55
Company to Assume Full Ownership of East China JV and Operate all Stores in Mainland China
SEATTLE–(BUSINESS WIRE)–Starbucks Corporation (NASDAQ:SBUX) today reported financial results for its 13-week fiscal third quarter and 39-week fiscal year to date ended July 2, 2017. Fiscal 2017 and fiscal 2016 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.
Q3 Fiscal 2017 Highlights
Global comparable store sales increased 4%
- Americas comp store sales increased 5%
- U.S. comp store sales increased 5%, driven by a 5% increase in average ticket
- U.S. average ticket increased 4% – transactions grew 1% after adjusting for the estimated impact of order consolidation following the shift in the Starbucks Rewards™ loyalty program from a frequency-based to spend-based model in Q3 FY16
- CAP comp store sales increased 1%
- China comp store sales increased 7%, driven by a 5% increase in transactions
Consolidated net revenues grew 8% to a Q3 record $5.7 billion; up 9% after excluding $53.7 million of unfavorable foreign currency translation
GAAP operating income increased 2% to $1.0 billion, inclusive of impairments
- Non-GAAP operating income up 13% over non-GAAP operating income in Q3 FY16, to $1.2 billion
GAAP operating margin of 18.4% declined 110 basis points versus Q3 FY16, inclusive of impairments
- Non-GAAP operating margin expands 100 bps over Q3 FY16, to 20.8%
GAAP EPS of $0.47 per share, down 8% versus Q3 FY16, inclusive of impairments
- Non-GAAP EPS up 12% over Q3 FY16, to $0.55 per share
The company opened 575 net new stores globally, bringing total store count to 26,736 across 75 countries
Starbucks Rewards membership up 8% year-over-year, to 13.3 million active members
Starbucks Rewards represented 36% of U.S. company-operated sales
Mobile Payment increased to 30% of transactions in U.S. company-operated stores
Mobile Order and Pay increased to 9% of transactions in U.S. company-operated stores
The company repurchased 3.5 million shares of common stock in Q3 FY17; approximately 95 million shares remain available for purchase under current authorizations
The Board of Directors declared a cash dividend of $0.25 per share, payable on August 25, 2017, to shareholders of record as August 10, 2017
