Starbucks stock drops after US same-store sales fall for 6th straight quarter

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RegExp("[?&]notifications=1(&|#|$)");"desktop"===y&&i&&b.test(window.location.search)&&(i.checked=!0)};be("ybar-mod-notification",(function(e){var t={isUH3:"crunch"===e.getConfig().ytheme,notifContainer:document.getElementById("notification-container"),notifBadge:document.getElementById("notif-badge"),notifMenu:document.getElementById("ybarNotificationMenu"),notifMenuOpener:document.querySelector("#ybarNotificationMenu + label"),notifDropdown:document.getElementById("notifDropdownContainer"),tooltipContainer:document.querySelector(".".concat(Vn)),notifLabel:document.querySelector(".".concat($n))};t.notifDropdown&&ro(e,t)}))}()}};]]>Brooke DiPalma · Senior ReporterUpdated Wed, Jul 30, 2025, 4:47 PM 4 min readStarbucks (SBUX) reported a sixth straight quarterly drop in US same-store sales on Tuesday as the company continues to grapple with an uncertain consumer environment and its CEO's turnaround efforts.US same-store sales fell 2%, in line with the prior quarter's drop but less than the 2.5% drop that had been forecast. That was driven lower by a 4% decline in comparable transactions. Wall Street expected a sharper 4.5% decline.Starbucks "fixed a lot and done the hard work on the hard things to build a strong operating foundation and based on my experience of turnarounds, we are ahead of schedule," CEO Brian Niccol, who previously led the turnaround at Chipotle, said in the release.Starbucks stock was down about 2% in morning trade on Wednesday; the stock rose as much as 4% in immediate reaction to the results late Tuesday. Shares of Starbucks are roughly unchanged so far this year.Global same-store sales fell 2%, more than the 1.5% decline expected, per Bloomberg data, marking an acceleration from the previous quarter's 1% drop.Same-store sales in China rose 2% against forecasts for a 1.4% rise, driven by beverage innovation. The jump was driven by an increase in transactions, which was offset by a decline in the average ticket as the company lowered prices to compete with rival Luckin Coffee (LKNCY). This marks the second straight quarter of positive growth for its operations in China as the company seeks out a partner in the region.Niccol said Starbucks seeks a local partner that shares the same "belief that there's this opportunity to grow" and can set up the brand long-term.Adjusted earnings per share came in at $0.50, missing forecasts for $0.65 per share. Revenue rose 5% to $9.5 billion, more than the $9.3 billion that had been forecast.Read more: Live coverage of corporate earningsSince joining the company last fall, Niccol has tried to change the fortunes of the coffee chain by cutting staff earlier this year and announcing plans this month to require more staff to be in the office four days per week.The company has also incentivized its management team to more aggressively turn around the business, offering executives performance-based stock grants focused on cutting costs.The company plans to prioritize a cozy coffeehouse atmosphere and move away from pickup-focused experiences for customers. Consequently, Starbucks plans to execute small, targeted renovations of its stores, amounting to approximately $150,000 per location, to bring back the thousands of chairs for patrons it took away.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P 5006,380.33 +9.47 (+0.15%)Dow 3044,633.46 +0.47 (+0.00%)Nasdaq21,169.83 +71.54 (+0.34%)Russell 20002,260.09 +17.13 (+0.76%)VIX15.86 -0.12 (-0.75%)Gold3,356.20 -25.00 (-0.74%)PortfolioSign in to access your portfolioSign inTop gainersPIII P3 Health Partners Inc. 7.49 +1.69 (+29.17%)WING Wingstop Inc. 364.36 +74.06 (+25.51%)FSS Federal Signal Corporation 127.17 +22.31 (+21.28%)FTAI FTAI Aviation Ltd. 137.45 +23.31 (+20.42%)HOG Harley-Davidson, Inc. 27.29 +4.33 (+18.89%)Top losersSLGN Silgan Holdings Inc. 46.43 -9.38 (-16.80%)CAR Avis Budget Group, Inc. 172.06 -31.82 (-15.61%)NEGG Newegg Commerce, Inc. 48.53 -7.66 (-13.63%)CHKP Check Point Software Technologies Ltd. 192.87 -25.46 (-11.66%)TKR The Timken Company 72.76 -8.22 (-10.15%)Most activeSOFI SoFi Technologies, Inc. 21.75 -0.65 (-2.92%)NVDA NVIDIA Corporation 178.72 +3.21 (+1.83%)QS QuantumScape Corporation 8.50 -0.78 (-8.44%)LCID Lucid Group, Inc. 2.5200 -0.0400 (-1.56%)NVO Novo Nordisk A/S 50.28 -3.66 (-6.79%)Earnings eventsTrending tickersPANW Palo Alto Networks, Inc. 183.23 -10.61 (-5.47%)MRVL Marvell Technology, Inc. 83.47 +7.13 (+9.34%)VRT Vertiv Holdings Co 145.76 +3.06 (+2.15%)MO Altria Group, Inc. 60.92 +1.56 (+2.63%)KHC The Kraft Heinz Company 28.77 +0.21 (+0.74%)Top economic events