STARBUCKS posted a bigger than expected jump in quarterly profit last night, after new beverages raised sales in its US stores.
The world’s biggest coffee chain also raised its full-year profit forecast, sending shares soaring almost six per cent in after-hours trading.
Seattle-based Starbucks’ position at the premium end of the coffee market means it has withstood the economic weakness crimping fast-food chains and other operators better than the likes of McDonald’s, which this week said it had suffered a summer dip.
Starbucks’ net earnings for the fiscal third quarter that ended on 30 June increased more than 25 per cent to $417.8m (£271.5m), beating analyst forecasts.
Global sales at Starbucks cafes open at least 13 months jumped eight per cent, versus the 5.8 per cent average increase analysts had expected.
Sales in Europe, the Middle East and Africa rose two per cent to $287.2m, producing $9.3m operating income.
Sales in North America jumped nine per cent, helped by a new range of summer drinks.
City A.M. Reporter