Starbucks reports record first quarter results

Starbucks’ global comparable store sales increased by 3 per cent in the first quarter of the company’s 2017 fiscal year, comprised of a 3 per cent increase in the Americas, a 5 per cent increase in China and the Asia Pacific, and a 1 per cent decrease in Europe, Middle East and Africa. The company has also reported Record consolidated net revenues of US$5.7 billion, a growth of 7 per cent over the prior year. In addition to this, the company achieved a record Q1 consolidated operating margin of 19.8 per cent, up by expanded 10 basis points. The company opened 649 net new stores in the quarter, bringing total stores to 25,734 in 75 countries worldwide. “We are pleased with the record Q1 financial and operating results we announced today, particularly given that the results were delivered in the face of a challenging environment for restaurant retailers overall,” said Starbucks CFO, Scott Maw. The company has also announced the nominations of Rosalind Brewer, President and Chief Executive Officer of Sam's Club, and executive vice president of Wal-Mart Stores, Inc.; Jørgen Vig Knudstorp, Executive Chairman of the Lego Brand Group; and Satya Nadella, CEO of Microsoft Corporation, to the Starbucks Board of Directors. Each are nominated for election to the Board at the company’s Annual Meeting of Shareholders on March 22, 2017, along with the nomination of the company’s current directors other than James Shennan who is retiring from the Board immediately prior to the meeting. “For 45 years, the success of the Starbucks brand has been built upon the preservation of the trust, confidence and connection we have with our customers and partners,” said Starbucks Chairman and CEO, Howard Schultz. “Innovation and pushing to alter the status quo are also core to our culture, and by welcoming three world-class, values-based leaders – Roz, Jørgen and Satya – to Starbucks Board of Directors upon their election at the Annual Meeting, we will strengthen our leadership and add unmatched expertise in technology, strategy, and retail to the company at a time of unprecedented change for our industry. I look forward to welcoming each of these leaders to Starbucks Board of Directors.”