Starbucks is preparing to release its quarterly earnings report, with analysts projecting earnings per share of 72 cents and revenue of $9.23 billion, according to a survey by LSEG. The company is expected to achieve its fifth consecutive quarter of same-store sales growth, with a forecasted increase of 6%, primarily driven by its North American cafes.
This growth is supported by Starbucks' strategy of closing underperforming locations, with plans to shut down about 1% of its North American footprint, equating to approximately 250 cafes. The closures are expected to incur around $300 million in restructuring charges but could enhance same-store sales figures.
Additionally, Starbucks recently dismissed rumors of acquiring Chipotle Mexican Grill, which had raised concerns among analysts about potential distractions from its current turnaround efforts. The company's stock has appreciated about 24% this year, bringing its market capitalization to roughly $119 billion, indicating strong investor interest ahead of the earnings announcement