Starbucks Corp (NASDAQ:SBUX, ETR:SRB) stock frothed up afterhours as the coffee giant reported better-than-expected results for the fiscal first quarter, the first full quarter under the leadership of new CEO Brian Niccol.
For the period which ended December 29, 2024, Starbucks reported earnings per share of $0.69, above estimates of $0.66. This represented a 23% decline from the year-ago quarter.
Revenue was $9.4 billion, flat year-over-year but ahead of the consensus of $9.32 billion.
Global comparable store sales fell 4%, driven by a 6% decline in transactions partially offset by a 3% increase in average ticket.
North America and US same-store sales also fell 4% year-over-year, with foot traffic down 8% as average ticket rose 4%.
The company opened 377 stores during Q1, exiting the period with 40,576 stores.
“While we’re only one quarter into our turnaround, we’re moving quickly to act on the 'Back to Starbucks' efforts and we’ve seen a positive response,” CEO Niccol said in a statement.
“We believe this is the fundamental change in strategy needed to solve our underlying issues, restore confidence in our brand and return the business to sustainable, long-term growth.”
Starbucks shares 4% post-earnings, for a gain of over 30% since Niccol took the helm in mid-September, though in pre-market trading the froth had evaporated and the shares were set to open 0.4% lower at $100.