Shares of the Seattle-based coffee chain Starbucks Corporation (NASDAQ: SBUX) surged 10% on Wednesday, May 04 after the company's fiscal second-quarter revenue topped estimates. The revenue for the second quarter reached $7.6 billion, which was up 15% year-over-year and the company opened 313 net new stores in the last quarter.
Earnings per share: $.59 vs. $.59 expected
Revenue: $7.64 billion vs. $7.6 billion expected
“We are single-mindedly focused on enhancing our core U.S. business through our partner, customer and store experiences,” interim CEO Howard Shultz said. "The investments we are making in our people and the company will add the capacity we need in our US stores today and position us ahead of the coming growth curve ahead." – he added.
Starbucks’ China revenue slid 14 percent in the fiscal second quarter to USD743.7 million due to the impacts of the COVID19 lockdowns. Meanwhile, Starbucks posted a 12% increase in North America comparable store sales, with revenue reaching $5.5 billion in 2Q.
"While we are into the third year of navigating through COVID in China, in Q2, we encountered the most severe resurgence of the virus to date,” Starbucks China Chairwoman Belinda Wong said.
Starbucks stock increased as high as $82.80 on Wednesday but the stock fell more than 35% this year.
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