The turnaround at Starbucks is taking some time.
Global same-store sales at Starbucks for the three months ending in June fell 2 percent from a year earlier. It marked the sixth consecutive quarterly decline at stores open at least a year.
Overall, global revenue rose 4 percent to $9.5 billion in the quarter while net earnings per share fell 47 percent from year-earlier levels.
The company attributed the slide in earnings to increased expenses from inflation, hiring additional employees and other costs.
“We’ve fixed a lot, and done the hard work on the hard things, to build a strong operating foundation,” said Brian Niccol, the chief executive, in a statement. Mr. Niccol, who was hired in September to bring about a turnaround at the struggling coffee chain, said the company expected to focus on innovation in the coming months to attract more customers.
In the U.S., same-store sales fell 2 percent in the quarter, led by a 4 percent decline in transactions.
Performance improved in the quarter in China, the second-largest market for Starbucks and one that has also struggled. There, same-store sales rose 2 percent from year-earlier levels. It is the first increase since early 2024.
Last fall, Mr. Niccol said the company might seek a strategic partner in China.
Mr. Niccol has been moving quickly to try to put the coffee chain on solid ground. Starbucks has been hiring more baristas to whip up Caramel Macchiatos and Mango Dragonfruit Lemonade Refreshers so customers can receive them faster. Locations are being renovated, often restoring seating that was removed during the pandemic.
Starbucks has also been testing an order-sequencing program to speed up customers’ orders, especially during peak periods, with a goal of completing orders in less than four minutes.
Julie Creswell is a business reporter covering the food industry for The Times, writing about all aspects of food, including farming, food inflation, supply-chain disruptions and climate change.
The post Starbucks’ Global Same-Store Sales Slip for the Sixth Consecutive Quarter appeared first on New York Times.
