Starbucks shares soared Wednesday after the coffee giant reported better-than-expected quarterly revenue and profit and raised its financial outlook for the year.The Seattle company said global same-store sales in its fiscal third quarter rose 7.9%, which was well above the 5.7% increase Wall Street was expecting, according to analysts polled by FactSet. Same-store sales also were up 7.9% in the U.S. during the April-June period, the company said.Starbucks said it now expects global same-store sales to grow 6% for its full fiscal year, which ends Sept. 28. The company previously forecast same-store sales to grow 5% for the year. The company also expects full-year earnings per share of $2.55 to $2.65, up from $2.25 to $2.45 previously.Starbucks shares were up more than 5% in after-hours trading Wednesday.Starbucks said its business grew across customer income levels and in the morning as well as the afternoon. Customers spent more per visit, partly due to growth in delivery orders but also due to innovative drinks, the company said.
S’mores Cold Brew, which features marshmallow syrup, marshmallow cream cold foam and a graham cracker topping, was particularly popular with Generation Z customers and is one of the company’s strongest limited-time summer offerings in years, Starbucks Chairman and CEO Brian Niccol said.Niccol said Starbucks’ fruity Refreshers also continued to see strong demand despite growing competition. McDonald’s added fruity drinks to its U.S. menu in May, for example.
