Starbucks Corporation (SBUX) reports earnings

The report was filed on November 20, 2024

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Starbucks Corporation (SBUX+0.74%) has submitted its 10-K filing for the fiscal year ended September 29, 2024.

The filing reports a 1% increase in total net revenues to $36.2 billion, driven by new company-operated store openings despite a decline in comparable store sales.

Operating income decreased to $5.4 billion, with an operating margin of 15.0%, down from 16.3% the previous year, primarily due to increased investments in partner wages and benefits.

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Net earnings attributable to Starbucks were $3.76 billion, down from $4.12 billion in the prior year, with diluted earnings per share decreasing to $3.31 from $3.58.

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The North America segment saw a 2% revenue increase, driven by new store growth, while the International segment experienced a 2% revenue decline, impacted by unfavorable foreign currency translation.

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The Channel Development segment's revenue decreased by 7%, largely due to the sale of the Seattle’s Best Coffee (NSRGY-0.26%) brand to Nestlé.

Starbucks returned $3.8 billion to shareholders through dividends and share repurchases in fiscal 2024.

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The company continues to focus on its 'Back to Starbucks' strategy to enhance customer experience and drive long-term growth.

Starbucks reported $6.1 billion in cash provided by operating activities, with capital expenditures totaling $2.8 billion for the fiscal year.

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Starbucks maintains a $3.0 billion unsecured revolving credit facility, with no amounts outstanding as of the end of fiscal 2024.

The company plans to continue investing in new and existing stores, its supply chain, and corporate facilities in fiscal 2025.

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This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Starbucks Corporation annual 10-K report dated November 20, 2024. To report an error, please email earnings@qz.com.