In brief
In its fiscal 2026 fourth‑quarter results, Starbucks reported revenue down 4.5% YoY to $9.14 billion while net income surged 408.8% to $677 million, driven largely by a sharp drop in restructuring and impairment costs. The decline was mainly from converting China outlets to a licensed joint‑venture, but global comparable sales rose 7.2%. Starbucks eyes modest revenue decline and plans 1,200 new stores in 2027.
Starbucks reported for the fourth quarter of fiscal 2026 that its revenue fell 4.5 percent year on year to $9.14 billion, while net income shot up 408.8 percent to $677.2 million.
Revenue dropped mainly because the company converted its China retail operations to a licensed joint‑venture model, a move that also lowered restructuring and impairment costs.
Despite the revenue decline, global comparable sales grew 7.2 percent, helped by a 5.2 percent rise in average ticket price and a 1.8 percent increase in comparable transactions.
North America revenue rose 6 percent to $7.33 billion; the international segment fell 37 percent to $1.31 billion mainly due to the China restructuring.
Operating income jumped 256.5 percent to $991.8 million, and operating margin expanded to 10.8 percent from 2.9 percent. Diluted earnings per share rose to $0.59 from $0.12.
Starbucks opened a net 303 new coffeehouses during the quarter, bringing its global store count to 41,607.
For the full fiscal year, the company earned $37.91 billion in revenue, up 2 percent, and $2.53 billion in net income, a 36.1 percent increase.
Looking forward, Starbucks expects revenue to decline approximately 1 percent in fiscal 2027 and plans to open around 1,200 new coffeehouses worldwide.