Summary by Futu AI
On October 22, 2024, Starbucks Corporation reported its preliminary financial results for the fourth quarter and the full fiscal year ended September 29, 2024. The report indicated a decline in global comparable store sales by 7% for the quarter and 2% for the full year. Consolidated net revenues decreased by 3% to $9.1 billion for the quarter and increased marginally by 1% to $36.2 billion for the full year. GAAP earnings per share for the quarter were down 25% to $0.80, while for the full year, they were down 8% to $3.31. The company attributed the decline primarily to reduced customer traffic in North America and intensified competition in China. Starbucks announced that it is developing a turnaround plan, dubbed 'Back to Starbucks,' and has suspended guidance for fiscal year 2025 to reassess the business. Despite the downturn, the Board of Directors approved an increase in the quarterly cash dividend from $0.57 to $0.61 per share, signaling confidence in long-term growth. The company plans to release its actual Q4 and full fiscal year 2024 financial results on October 30, 2024, followed by a conference call.
