Starbucks Corp. (NASDAQ: SBUX) has reported fiscal fourth-quarter results that met analysts’ expectations. The coffee chain reported fiscal fourth-quarter net income of $802.9 million, or 67 cents per share, up from $755.8 million, or 56 cents per share, a year earlier. Revenue rose 7 percent to $6.75 billion. Analysts had predicted adjusted earnings of 70 cents per share on revenue of $6.69 billion.
Both the U.S. and China, Starbuck’s two biggest markets, reported strong same-store sales and increasing traffic. Starbucks posted same-stores sales growth of 6 percent in the U.S., versus expectations of 4.6 percent. The China/Asia Pacific business reported an increase of 5 percent, higher than expectations of 3.3 percent. Starbucks Rewards now has more than 17.6 million daily active users in the U.S. and 10 million active members in China.
Starbucks opened more than 600 net new cafes in China during fiscal 2019. The company now has more than 4,000 locations across the country. It plans to add 2,000 net new Starbucks locations worldwide in fiscal 2020.
Starbucks also introduced its outlook for the next year during its earnings report. The company expects fiscal 2020 adjusted earnings per share in a range of $3 to $3.05, lower than analysts’ expectations of earnings of $3.08 per share. Revenue growth is expected to range between 6 percent to 8 percent. The company says global same-store sales growth will range from 3 percent to 4 percent. CEO Kevin Johnson commented, ““Our strong performance throughout fiscal 2019 gives us confidence in a robust operating outlook for fiscal 2020.”