Today, Starbucks announced its Q2 financial results, causing stocks to slide 6.4% in premarket trading.
The company reported a 1% decline in comparable store sales globally and in North America.
Despite the sales slump, net revenue for the company’s international segment increased by 6% to $1.9 billion.
Brian Niccol, Starbucks CEO and Chairman told investors, “My optimism has turned into confidence that our ‘Back to Starbucks’ plan is the right strategy to turn the business around and to unlock opportunities ahead. Improving transaction comp in a tough consumer environment at our scale is a testament to the power of our brand and partners getting ‘Back to Starbucks.’ We are on track and if anything, I see more opportunity than I imagined.”
Moving forward, the company’s new CFO, Cathy Smith said, “While our financial results are far from Starbucks potential, we are working to build back a better business,. We are developing new muscles to test, iterate and scale quickly, in service of long-term, durable growth and strong returns on invested capital.”
In Q2, the company opened 213 new stores, raising the total to 40,789 by the end of the period.
By CEO NA Editorial Staff
