Starbucks reported a return to growth in its fourth quarter of fiscal 2026, driven by the "Back to Starbucks" turnaround strategy. While consolidated revenue fell 4% year-over-year to $9.1 billion due to the structural transition of China operations to a licensed joint venture model, global comparable coffeehouse sales rose 7.2%, reflecting a significant recovery in traffic and spending.
Key Highlights
- North America comparable sales increased 7.9%, fueled by a 2.7% rise in transactions and a 5.0% increase in average ticket.
- Non-GAAP operating margin expanded 450 basis points on a constant currency basis to 14.0%, driven by sales leverage and cost efficiencies.
- International revenue fell 37% to $1.31 billion, strictly following the divestiture of retail operations in China to a licensed model in the third quarter.
- The company introduced fiscal 2027 guidance expecting Non-GAAP EPS of $3.15 to $3.25 and North America comparable sales growth of approximately 4.0%.