Starbucks (NASDAQ:SBUX) earnings for fiscal second quarter of 2020 have SBUX stock lower after markets closed on Tuesday. This comes after reporting adjusted earnings per share of 32 cents, which is below Wall Street’s estimate of 34 cents. On the other hand, the coffee chain’s revenue of $6 billion is better than analysts’ estimates of $5.89 billion.
Let’s take a more in-depth look at the Starbucks earnings report below.
- Adjusted per-share earnings are down 46.7% from 60 cents in the same period of the year prior.
- Revenue for the quarter comes in 4.9% lower than the $6.31 billion reported in the fiscal second quarter of 2019.
- Operating income of $487.4 million is a 43.2% drop year-over-year from $857.7 million.
- The Starbucks earnings report also has its net income coming in at $324.8 million.
- That’s a 50.7% decline compared to its net income of $658.8 million reported during the same time last year.
Kevin Johnson, president and CEO of Starbucks, said this in the fiscal Q2 earnings report:
“We are leveraging our experience in China to inform our actions in other markets, including the U.S., where we are now entering the “monitor and adapt” phase to reopen many more stores with best-inclass safety protocols. We continue to navigate this dynamic situation — which we believe is temporary — and are confident that Starbucks will emerge from this global crisis even stronger than before.”
Starbucks still isn’t offering guidance for the full year of 2020. The company pulled its guidance earlier this month in response to the novel coronavirus. It’s unclear when it will provide an updated outlook for the year.
SBUX stock was down 2.1% after-hours Tuesday.
As of this writing, William White did not hold a position in any of the aforementioned securities.