Starbucks (Sbux) Q1 2025 profits

Starbucks On Tuesday, he informed that their sales in the same store slid for the fourth consecutive quarter, but the company’s gains and revenues exceeded the expectations of Wall Street.

The coffee giant began an response plan the last quarter in the hope of reliving his business in the United States, which has collapsed during the last year.

“While we have space to improve, we are advancing as planned, and we trust the right way,” said CEO Brian Niccol in a video posted on the company’s website on Tuesday afternoon.

This is what the company reported compared to what Wall Street expected, based on an LSEG analysts survey:

• Gains per share: 69 cents against 67 expected cents
• Income: $ 9.4 billion compared to $ 9.31 billion expected

Starbucks reported that the net income of the first fiscal quarter attributable to the company of $ 780.8 million, or 69 cents per share, below $ 1.02 billion, or 90 cents per share, a year earlier.

Company’s net sales of $ 9.4 billion did not change compared to the previous year.

Sales of the same company fell 4%, fed by a 6% decrease in traffic to its stores. Wall Street expected a more pronounced 5.5%drop, according to Streetacount estimates. Both their US and international locations exceeded expectations.

Sales of the same US store slide 4%, since traffic to their coffees fell 8%. Under Niccol, who took the reins in September, the company has been trying to change its American business by “returning to Starbucks” and returning its focus on coffee and customer experience.

Outside its local market, sales in the same store also decreased by 4%.

Sales in the same Starbucks store in China, its second largest market, fell 6%, fed by 4% in average ticket. The coffee giant has inclined discounts in China to compete with rivals that have much lower prices, such as Luckin Coffee.