"The metric that matters isn't store count-it's U.S. comparable store sales. The Metric: U.S. Same-Store Sales Growth Comp sales measure revenue growth at stores open at least 12 months. It strips out new openings and shows whether existing locations are thriving or dying. Positive comps mean customers are returning, spending more, and the brand has pricing power. Negative comps mean traffic is declining or prices have hit a ceiling."
"Starbucks reported 4% global comp sales growth in Q1 FY2026, beating expectations. Revenue climbed 5% to $9.92 billion. But operating income collapsed and EPS fell 19% year-over-year. The company opened stores and grew the top line, but profitability cratered. When comps turn negative or margins compress, fixed costs crush you. Every 1% comp decline across 16,000+ U.S. stores erases hundreds of millions in revenue."
Starbucks reported 4% global comparable sales growth in Q1 FY2026, with revenue rising 5% to $9.92 billion. Operating income collapsed and EPS fell 19% year-over-year despite top-line growth. Comp sales isolate performance of stores open at least 12 months and strip out new openings. China drove strength with 7% comps while U.S. comps were 4%. Operating margins fell to about 9% from historically double digits. Every 1% comp decline across 16,000+ U.S. stores erases hundreds of millions in revenue. Sustained U.S. comp growth requires both traffic and ticket increases; price-driven ticket gains with falling traffic signal brand deterioration.
Read at 24/7 Wall St.
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