Starbucks Stock Slides as Revenue, Profit Miss Estimates

Starbucks (SBUX) reported fiscal second-quarter revenue and earnings that missed analysts’ expectations, sending shares lower in extended trading Tuesday.

The coffee giant reported revenue of $8.76 billion, up 2% year-over-year but just below the analyst consensus from Visible Alpha. Starbucks’ adjusted earnings per share of 41 cents fell from 68 cents a year earlier and failed to meet Wall Street’s projections.

Global same-store sales fell 1%, a slightly sharper drop than the 0.5% decline analysts expected, which the company attributed to declining transaction volumes, partially offset by higher spending per ticket.

The results reflect the third report or second full quarter under CEO Brian Niccol, whose “Back to Starbucks” turnaround plan has included revamping the chain’s cafes in a bid to make them more welcoming, prioritizing getting customers their orders within four minutes, and restoring its condiment bar.

“Improving transaction comp in a tough consumer environment at our scale is a testament to the power of our brand and partners getting ‘Back to Starbucks.’ We are on track and if anything, I see more opportunity than I imagined,” Niccol said.

Starbucks shares dropped over 6% in after-hours trading. The stock has lost about 7% so far in 2025 through Tuesday’s close.