Starbucks Corp. posted earnings that beat analysts’ estimates after the recent additions of digital ordering and a new loyalty program boosted sales.
Profit was 56 cents (U.S.) a share, excluding some items, in the fiscal fourth quarter, which ended Oct. 2, the Seattle-based company said in a statement Thursday. Analysts predicted 55 cents, on average.
The world’s largest coffee-shop operator has been fuelling sales with new technology that speeds service at cafes. Starbucks last year began offering mobile order and pay at its U.S. locations and is expanding that feature to markets abroad, including China. Same-store sales rose 5 per cent in the company’s Americas region, matching the average estimate of analysts polled by Consensus Metrix.
The stock rose 4.7 per cent to $54.20 at 4:09 p.m. in late trading in New York. Through Thursday’s close, Starbucks had lost 14 per cent this year.
Revenue climbed 16 per cent to $5.71-billion. Analysts estimated $5.69-billion, on average.Report Typo/Error