Shares of Starbucks recovered from losses of February and March due to the pandemic and rose by 19.7% over the past 6 months. But shares fell again after the publication of the quarterly report, which ended September 30.
Starbucks revenue and profit for the 4th quarter of fiscal 2020 showed a strong jump in growth after a sharp decline in the third quarter.
Starbucks reported that 98% of its stores currently remain open, but visitor traffic is limited due to quarantine measures.
Earnings per share were $ 0.51, which is 27% lower than the same quarter a year ago, but better than analysts’ estimates of $ 0.31. The amount of quarterly profit decreased to $ 392.6 million, compared to $ 802.9 million a year earlier.
Total revenue fell 8% to $ 6.2 billion, but that’s better than a record 38% drop in the third quarter and better than analysts expect $ 6.06 billion.
The company estimates that due to the coronavirus pandemic, sales fell by $ 1.2 billion.
During the fourth quarter, sales in US coffee shops fell by 9%, but in September the figure improved to only 4% lower than last year. Which contributed to the demand for re-appearance in the menu of pumpkin spice latte and plant-based drinks.
Sales in Chinese stores also showed a renewal and fell by only 3% during the reporting quarter.
In the fourth quarter, Starbucks opened 480 new stores worldwide. They ended the year with 32,660 stores, almost half of which are in the United States.
In China, Starbucks opened 260 stores between July and September, increasing the total of over 4,700 stores.
The company noted that in the US the number of transactions decreased by 25%, but the average check for a visit increased by 21%. The trend in international markets was similar. The behavior of Starbucks customers in the pandemic has changed: part of the demand has shifted from work areas to “bedrooms”, and traffic was higher on weekends.
Starbucks has said it will close about 400 of its traditional cafes in urban areas to invest in new stores in cities such as New York, Boston and Chicago.
At the same time, 47% of all transactions were digital orders. The number of active users of the American loyalty program Starbucks increased by 10% to 19.3 million people.
In the crisis, the Starbucks pandemic continued to pay its dividends, with the Board of Directors raising dividends to $ 0.45.
By the end of this year, the German airline Lufthansa intends to reduce its foreign staff by 20 thousand people, as well as sell its LSG division, which deals with on-board catering, which employs 7.5 thousand people. Lufthansa subsidiaries Eurowings, Swiss, Austrian and Brussels Airlines are reducing the frequency of flights, fleets and staff amid […]
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