Starbucks says its quarterly sales jumped eight per cent at established locations in its flagship Americas market, driven by an uptick in customer visits and higher average spending per visit.
On a global basis, the company said the figure rose seven per cent. That also included an 11 per cent increase in Asia and a three per cent increase in the segment encompassing Europe, the Middle East and Africa.
In the US, which makes up the majority of its Americas unit, the coffee chain has been pushing up sales with offerings like S’more Frappuccinos, and Flat White espresso drinks that cost a little more.
Scott Maw, CFO, said people are even “trading up†to newer, more expensive breakfast sandwiches, such as one that is served on a croissant bun.
Maw noted that more people are getting food with their orders as well.
Customer visits are also increasing, boosted by the company’s mobile app.
Earlier in the day, Dunkin’ Donuts reported a sales climb of 2.9 per cent in the US Parent company Dunkin’ Brands Group also attributed the increase to an increase in both customer spending and visits.
For its fiscal third quarter, Starbucks earned $US626.7 million ($A849.5 million), or 41 cents per share. Adjusted earnings not including one-time items was 42 cents per share.
Total revenue rose to $US4.88 billion in the period, topping the $US4.86 billion Wall Street expected.
AP