Starbucks (Sbux) The stock dropped 5.7% Wednesday after the coffee giant Second trimester results report disappointed Wall Street and throw a shadow in terms of his CEO to run the business.
Sales of stores comparable to the United States – a closely monitored metric that includes the results of open stores for more than a year – fell for the fifth consecutive quarter, jumping 2% while consumers have sought cheaper alternatives to competitors such as Dunkin ‘and McDonald’s (MCD). Wall Street analysts expected a more modest drop of 0.3% of the results on Tuesday.
Sales of Starbucks stores are the result of fewer customers visiting its stores to buy drinks, although those who still frequent its stores spend more money. Transactions dropped 4% compared to the previous year, while the average ticket size, or the dollar amount spent in each transaction, increased 3% in the United States.
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Investors have also focused on the results of the company in China after four consecutive quarters of comparable sales drops, competition, the competition is warmed in the country.
In China, more customers have visited Starbucks, but they spent less money. Comparable sales in China were stable in the second quarter budgetary of Starbucks, as an increase of 4% of transactions was offset by a 4% drop in the size of the tickets. Analysts expected that the sales in China in residential stores decrease by more than 2%.
Other key statistics also disappointed. The coffee chain said a profit adjusted per share of $ 0.41 for the quarter ending on March 30, less than the $ 0.49 expected from Wall Street analysts, according to Bloomberg Data. Its turnover of $ 8.76 billion did not reach 8.83 billion dollars expected.
In the past year, the Starbucks stock has dropped approximately 9.5% compared to the increase of 10.6% of the S&P 500.
The company declared an adjusted operating room – the percentage of remaining income after operating expenses – 8.2%, below 9.5% expected by analysts, according to Bloomberg.
The benefit of the coffee chain dropped more than 50% of the previous year to $ 384 million during the March period.
The CEO of Starbucks, Brian Niccol, recognized the results of the decline, saying: “Our results of the T2 are disappointing”, but he added that “behind the scenes, we have made a lot of progress and have a real momentum with our” return to the Starbucks plan “.
“My optimism has become the confidence that our background plan in Starbucks is the right strategy for changing the business and to unlock to come from opportunities,” he said.
After joining the Chipotle company (CMG) Last fall with a heavy package And controversial benefitsNiccol Mount a Starbucks recovery plan in motion Since the coffee giant has waded in recent years in the United States and abroad.
