the stock fell despite better-than-expected gains after Tuesday’s close.
reported non-GAAP earnings per share of $1.01 on revenue of $7.5 billion, a record record. Analysts had forecast earnings per share of $0.77 on revenue of $7.3 billion. Despite beating consensus targets for sales and earnings, Starbucks stock fell 3.1% to $122.10 in after-hours trading.
Driven by an 84% increase in same-store sales in the Americas, the global coffee giant reported an overall increase in comparable store sales of 73% from the third quarter last year. Indeed, brand loyalty remains strong, especially in the US, where the 90-day active Starbucks Rewards loyalty program members are up 48% year over year.
In a statement, Starbucks CEO Kevin Johnson told investors: “Starbucks delivered record performance in the third quarter, demonstrating strong momentum beyond recovery. Our ability to act quickly and nimble and anticipate changing customer behavior , Starbucks has helped further differentiate us, putting us in a good position today.”
The strong results have prompted management to raise its 2021 earnings per share outlook from $2.90 – $3.00 to $3.20 – $3.25.
That was not good enough for the market.
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