Starbucks: third-quarter results fail to impress investors
(CercleFinance.com) - Starbucks on Friday reported record third-quarter revenues and profits, but that was not enough to impress Wall Street investors.
The Seattle-based coffee chain reported fiscal third-quarter net income of 852.5 million dollars, compared with a year-earlier net profit of 691.6 million dollars.
On a non-GAAP basis, Starbucks had a per-share profit of 62 cents, up 13% over the prior year, and above analysts' 61-cent average Wall Street target.
Consolidated net revenues grew 11% to 6.3 billion in the quarter primarily driven by East China, new store openings, and favourable foreign currency translation.
Analysts at Jefferies see "few surprises" in the report, but find the current valuation multiple underappreciates the company's proven track-record in growth.
Still, the shares were down 1.8 percent at 50.4 dollars in early morning trade on Friday.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
The Seattle-based coffee chain reported fiscal third-quarter net income of 852.5 million dollars, compared with a year-earlier net profit of 691.6 million dollars.
On a non-GAAP basis, Starbucks had a per-share profit of 62 cents, up 13% over the prior year, and above analysts' 61-cent average Wall Street target.
Consolidated net revenues grew 11% to 6.3 billion in the quarter primarily driven by East China, new store openings, and favourable foreign currency translation.
Analysts at Jefferies see "few surprises" in the report, but find the current valuation multiple underappreciates the company's proven track-record in growth.
Still, the shares were down 1.8 percent at 50.4 dollars in early morning trade on Friday.
Copyright (c) 2018 CercleFinance.com. All rights reserved.