Starbucks says key sales figure grew only modestly in US

July 26, 2018 - 4:37 pm

SEATTLE (AP) — Starbucks says a key sales figure grew only modestly in the U.S. during the second quarter. The chain says sales rose just 1 percent at established domestic locations during the period. In China, that figure declined 2 percent.

For the quarter, the company reported a net income on Thursday of $852.5 million. On a per-share basis, the Seattle-based company said it had profit of 61 cents. Earnings, adjusted for non-recurring costs, came to 62 cents per share.

The results topped Wall Street expectations. The average estimate of 12 analysts surveyed by Zacks Investment Research was for earnings of 60 cents per share.

The coffee chain posted revenue of $6.31 billion in the period, also exceeding Street forecasts. Eight analysts surveyed by Zacks expected $6.26 billion.

Starbucks expects full-year earnings in the range of $2.40 to $2.42 per share.

Starbucks shares have declined 10 percent since the beginning of the year, while the Standard & Poor's 500 index has increased 6 percent. After the results were released Thursday, the shares rose 0.6 percent to $51.75.

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Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on SBUX at https://www.zacks.com/ap/SBUX

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