Starbucks Corporation (NASDAQ:SBUX) may be trying out plenty of new beverage ideas, but these have not been enough to propel the company forward.
From the Unicorn Frappuccino to the re-introduction of the Pumpkin Spice Latte, the coffee giant has been making moves in an attempt to bring in more customers. However, the high prices of its drinks has seen many invest in coffee machines instead of buying a latte at Starbucks.
Earnings were decent for the company’s most recent quarter, coming in at 55 cents per share on an adjusted basis, meeting the Wall Street consensus estimate, according to Thomson Reuters. A year ago, Starbucks earned 54 cents per share.
However, revenue was a weak spot for the Washington-based company as it only brought in $5.7 billion for the quarter, missing analysts’ expectations of $5.80 billion, according to Thomson Reuters. A year ago, Starbucks raked in $5.7 billion in sales.
Same-store sales were also below the mark as Starbucks saw a 2% rise in this area, compared to a 3.3% growth that analysts polled by StreetAccount had projected. Comparable-store sales were 3% higher, missing the 3.3% estimate.
“Starbucks delivered solid top and bottom line growth – and our strongest quarterly traffic number in the U.S. since mid-2016 – despite a difficult operating environment in both the quarter and year,” said Scott Maw, Starbucks’ CFO.
SBUX shares were sinking more than 3% after the bell Thursday.
