Starbucks Earnings Preview: What to Expect

• Same-store sales are projected to have risen 2.3% in the quarter, which would mark the second consecutive quarter of growth and signal Niccol's turnaround plan is gaining traction
• November saw the company achieve its biggest-ever sales day in North America on the holiday menu launch day, indicating a successful holiday season
• Investors will receive more details about the turnaround strategy at an investor day scheduled for Thursday in New York City

Starbucks Earnings Preview Summary

Earnings Report Details:

Starbucks is scheduled to release fiscal first-quarter earnings Wednesday before market open. Wall Street analysts expect revenue of $9.67 billion, though specific earnings per share estimates were not fully detailed in the article.

Key Performance Indicators:

Same-store sales are projected to increase 2.3% for the quarter, according to StreetAccount estimates. This would mark the second consecutive quarter of positive same-store sales growth, a critical metric signaling CEO Brian Niccol's turnaround strategy is gaining traction.

Turnaround Progress:

The company is actively working to revitalize its U.S. business under Niccol's leadership. In November, approximately halfway through the reporting quarter, the CEO announced Starbucks achieved its largest-ever sales day in North America coinciding with the holiday menu launch, suggesting strong seasonal performance.

Market Implications:

The anticipated return to positive same-store sales growth represents a significant milestone for Starbucks, indicating improved operational momentum in its core U.S. market. Consecutive quarters of growth would validate management's strategic initiatives and could boost investor confidence.

Upcoming Catalyst:

Investors will receive additional strategic details at an investor day scheduled for Thursday in New York City, where executives will elaborate on Niccol's long-term plans for the coffee chain.

Bottom Line:

The earnings report and subsequent investor day represent critical events for assessing whether Starbucks' turnaround efforts are sustainable. Positive same-store sales growth and strong holiday performance would reinforce the narrative that operational improvements are taking hold under new leadership.