Starbucks reported a sharp rise in sales and improved profits, buoyed by US customers across all income levels even as affordability concerns weighed on the coffee giant’s home market.
Sales at cafés open for at least a year rose 6.2 per cent in the quarter ending in March, the strongest increase since 2023, Starbucks said on Tuesday. In the US, comparable sales increased 7.1 per cent, with new transactions accounting for 4.3 per cent of the rise.
The world’s largest coffee house chain has revamped stores, simplified menus, added labour and sped up service under a turnaround plan called “Back to Starbucks” announced by chief executive Brian Niccol in late 2024. In January he declared “Starbucks is Back”.
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