Starbucks Corp forecast fourth-quarter same-store sales above market estimates on Tuesday, as more customers return to its stores for their daily cup of coffee after staying away during the height of the pandemic.
The easing of COVID-19 restrictions on travel and restaurant capacity as well as reopening of offices have boosted sales at Starbucks and other big U.S. restaurants, including Chipotle Mexican Grill and Domino’s Pizza.
Starbucks has been investing in its digital business, stores and new beverages, including three flavors of ready-to-drink coffee, to meet higher demand from the economic reopening.
The coffee chain forecast fourth-quarter same-store sales to grow 18% to 21%, expecting strength in the Americas and its international segment. Analysts on average expect growth of 17.5%, according to IBES data from Refinitiv.
Starbucks’ global comparable sales for the third quarter ended June 27 surged 73%, compared with estimates of 69.4% growth. Active membership in Starbucks Rewards program grew 48% to 24.2 million.
The company said comparable sales rose 19% in China, its largest growth market, and soared 83% in the United States, cushioning the blow from lockdowns in certain markets.
Excluding certain items, Starbucks earned $1.01 per share, compared with a loss of 46 cents a year earlier.
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