US Starbucks Corp. which owns the world’s largest chain of coffee shops, sharply reduced its net profit in the third quarter of fiscal 2025, but its revenue exceeded market forecasts.
The company said in a press release that net income in the quarter ended June 29 was $558.3 million, or 49 cents per share, compared with $1.055 billion, or 93 cents per share, in the comparable period a year earlier.
The company attributed the drop in profit to one-time factors related to investments in business reorganisation.
Excluding one-time factors, earnings were 50 cents per share.
Revenue rose to $9.46bn from $9.11bn a year earlier.
Analysts surveyed by FactSet on average estimated adjusted earnings of 65 cents per share on revenue of $9.29 billion.
Global comparable sales declined 2% (with an expected decline of 1.3%). The number of purchases decreased by 3% and the average cheque amount increased by 1%.
Comparable sales in North America and the US fell by 2%. The rest of the world was flat, with China up 2%.
In the third fiscal quarter, the number of Starbucks coffee shops worldwide increased by 308 to 41,097,000, including 17,23,000 Starbucks locations in the US and 7,828,000 in China.
The Board of Directors declared a dividend of 61 cents per share, as it did a quarter earlier. Payments will take place on 29 August, the closing of the register of shareholders is scheduled for 15 August.
The company’s share price rose by 4.5% in additional trading on Tuesday. Since the beginning of the year, capitalisation has grown by 1.9% to $106.5 billion.