(State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | ||||||||
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | ||||||||
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | ||||||||
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Title | Trading Symbol | Name of each exchange on which registered | ||||||
Exhibit No. | Description | |||||||
104 | Cover Page Interactive Data File (formatted as inline XBRL) |
STARBUCKS CORPORATION | ||||||||||||||
Dated: | November 3, 2022 | |||||||||||||
By: | /s/ Rachel Ruggeri | |||||||||||||
Rachel Ruggeri | ||||||||||||||
executive vice president, chief financial officer |
Quarter Ended | Change (%) | ||||||||||||||||
($ in millions) | Oct 2, 2022 | Oct 3, 2021 | |||||||||||||||
(13 Weeks Ended) | (14 Weeks Ended) | ||||||||||||||||
Change in Comparable Store Sales (1) | 11% | 22% | |||||||||||||||
Change in Transactions | 1% | 18% | |||||||||||||||
Change in Ticket | 10% | 3% | |||||||||||||||
Store Count | 17,295 | 16,826 | 3% | ||||||||||||||
Revenues | $6,134.4 | $5,763.0 | 6% | ||||||||||||||
Operating Income | $1,141.8 | $1,255.8 | (9)% | ||||||||||||||
Operating Margin | 18.6% | 21.8% | (320) bps | ||||||||||||||
(1) Includes only Starbucks® company-operated stores open 13 months or longer. Comparable store sales exclude the effects of fluctuations in foreign currency exchange rates and Siren Retail stores. Stores that are temporarily closed or operating at reduced hours due to the COVID-19 pandemic remain in comparable store sales while stores identified for permanent closure have been removed. |
Quarter Ended | Change (%) | ||||||||||||||||
($ in millions) | Oct 2, 2022 | Oct 3, 2021 | |||||||||||||||
(13 Weeks Ended) | (14 Weeks Ended) | ||||||||||||||||
Change in Comparable Store Sales (1) | (5)% | 3% | |||||||||||||||
Change in Transactions | (5)% | 6% | |||||||||||||||
Change in Ticket | (1)% | (2)% | |||||||||||||||
Store Count | 18,416 | 17,007 | 8% | ||||||||||||||
Revenues | $1,777.0 | $1,914.6 | (7)% | ||||||||||||||
Operating Income | $217.6 | $377.4 | (42)% | ||||||||||||||
Operating Margin | 12.2% | 19.7% | (750) bps | ||||||||||||||
(1) Includes only Starbucks® company-operated stores open 13 months or longer. Comparable store sales exclude the effects of fluctuations in foreign currency exchange rates and Siren Retail stores. Stores that are temporarily closed or operating at reduced hours due to the COVID-19 pandemic remain in comparable store sales while stores identified for permanent closure have been removed. |
Quarter Ended | Change (%) | ||||||||||||||||
($ in millions) | Oct 2, 2022 | Oct 3, 2021 | |||||||||||||||
(13 Weeks Ended) | (14 Weeks Ended) | ||||||||||||||||
Revenues | $483.7 | $438.3 | 10% | ||||||||||||||
Operating Income | $244.6 | $219.8 | 11% | ||||||||||||||
Operating Margin | 50.6% | 50.1% | 50 bps |
Starbucks Contact, Investor Relations: | Starbucks Contact, Media: | |||||||
Tiffany Willis | Reggie Borges | |||||||
investorrelations@starbucks.com | press@starbucks.com | |||||||
206-318-7100 |
Quarter Ended | Quarter Ended | ||||||||||||||||||||||||||||
Oct 2, 2022 | Oct 3, 2021 | % Change | Oct 2, 2022 | Oct 3, 2021 | |||||||||||||||||||||||||
(13 Weeks Ended) | (14 Weeks Ended) | As a % of total net revenues | |||||||||||||||||||||||||||
Net revenues: | |||||||||||||||||||||||||||||
Company-operated stores | $ | 6,901.4 | $ | 6,864.3 | 0.5 | % | 82.0 | % | 84.3 | % | |||||||||||||||||||
Licensed stores | 998.4 | 794.5 | 25.7 | 11.9 | 9.8 | ||||||||||||||||||||||||
Other | 514.4 | 487.9 | 5.4 | 6.1 | 6.0 | ||||||||||||||||||||||||
Total net revenues | 8,414.2 | 8,146.7 | 3.3 | 100.0 | 100.0 | ||||||||||||||||||||||||
Product and distribution costs | 2,711.0 | 2,491.1 | 8.8 | 32.2 | 30.6 | ||||||||||||||||||||||||
Store operating expenses | 3,544.7 | 3,273.4 | 8.3 | 42.1 | 40.2 | ||||||||||||||||||||||||
Other operating expenses | 123.1 | 108.6 | 13.4 | 1.5 | 1.3 | ||||||||||||||||||||||||
Depreciation and amortization expenses | 357.4 | 354.7 | 0.8 | 4.2 | 4.4 | ||||||||||||||||||||||||
General and administrative expenses | 538.0 | 501.2 | 7.3 | 6.4 | 6.2 | ||||||||||||||||||||||||
Restructuring and impairments | 35.1 | 55.5 | (36.8) | 0.4 | 0.7 | ||||||||||||||||||||||||
Total operating expenses | 7,309.3 | 6,784.5 | 7.7 | 86.9 | 83.3 | ||||||||||||||||||||||||
Income from equity investees | 90.6 | 120.0 | (24.5) | 1.1 | 1.5 | ||||||||||||||||||||||||
Operating income | 1,195.5 | 1,482.2 | (19.3) | 14.2 | 18.2 | ||||||||||||||||||||||||
Net gain resulting from divestiture of certain operations | — | 864.5 | nm | — | 10.6 | ||||||||||||||||||||||||
Interest income and other, net | 31.0 | 21.5 | 44.2 | 0.4 | 0.3 | ||||||||||||||||||||||||
Interest expense | (125.3) | (120.6) | 3.9 | (1.5) | (1.5) | ||||||||||||||||||||||||
Earnings before income taxes | 1,101.2 | 2,247.6 | (51.0) | 13.1 | 27.6 | ||||||||||||||||||||||||
Income tax expense | 222.7 | 483.0 | (53.9) | 2.6 | 5.9 | ||||||||||||||||||||||||
Net earnings including noncontrolling interests | 878.5 | 1,764.6 | (50.2) | 10.4 | 21.7 | ||||||||||||||||||||||||
Net earnings attributable to noncontrolling interests | 0.2 | 0.2 | 0.0 | 0.0 | 0.0 | ||||||||||||||||||||||||
Net earnings attributable to Starbucks | $ | 878.3 | $ | 1,764.4 | (50.2) | 10.4 | % | 21.7 | % | ||||||||||||||||||||
Net earnings per common share - diluted | $ | 0.76 | $ | 1.49 | (49.0) | % | |||||||||||||||||||||||
Weighted avg. shares outstanding - diluted | 1,152.5 | 1,187.9 | |||||||||||||||||||||||||||
Cash dividends declared per share | $ | 0.53 | $ | 0.49 | |||||||||||||||||||||||||
Supplemental Ratios: | |||||||||||||||||||||||||||||
Store operating expenses as a % of company-operated store revenues | 51.4 | % | 47.7 | % | |||||||||||||||||||||||||
Effective tax rate including noncontrolling interests | 20.2 | % | 21.5 | % |
Year Ended | Year Ended | ||||||||||||||||||||||||||||
Oct 2, 2022 | Oct 3, 2021 | % Change | Oct 2, 2022 | Oct 3, 2021 | |||||||||||||||||||||||||
(52 Weeks Ended) | (53 Weeks Ended) | As a % of total net revenues | |||||||||||||||||||||||||||
Net revenues: | |||||||||||||||||||||||||||||
Company-operated stores | $ | 26,576.1 | $ | 24,607.0 | 8.0 | % | 82.4 | % | 84.7 | % | |||||||||||||||||||
Licensed stores | 3,655.5 | 2,683.6 | 36.2 | 11.3 | 9.2 | ||||||||||||||||||||||||
Other | 2,018.7 | 1,770.0 | 14.1 | 6.3 | 6.1 | ||||||||||||||||||||||||
Total net revenues | 32,250.3 | 29,060.6 | 11.0 | 100.0 | 100.0 | ||||||||||||||||||||||||
Product and distribution costs | 10,317.4 | 8,738.7 | 18.1 | 32.0 | 30.1 | ||||||||||||||||||||||||
Store operating expenses | 13,561.8 | 11,930.9 | 13.7 | 42.1 | 41.1 | ||||||||||||||||||||||||
Other operating expenses | 461.5 | 359.5 | 28.4 | 1.4 | 1.2 | ||||||||||||||||||||||||
Depreciation and amortization expenses | 1,447.9 | 1,441.7 | 0.4 | 4.5 | 5.0 | ||||||||||||||||||||||||
General and administrative expenses | 2,032.0 | 1,932.6 | 5.1 | 6.3 | 6.7 | ||||||||||||||||||||||||
Restructuring and impairments | 46.0 | 170.4 | (73.0) | 0.1 | 0.6 | ||||||||||||||||||||||||
Total operating expenses | 27,866.6 | 24,573.8 | 13.4 | 86.4 | 84.6 | ||||||||||||||||||||||||
Income from equity investees | 234.1 | 385.3 | (39.2) | 0.7 | 1.3 | ||||||||||||||||||||||||
Operating income | 4,617.8 | 4,872.1 | (5.2) | 14.3 | 16.8 | ||||||||||||||||||||||||
Net gain resulting from divestiture of certain operations | — | 864.5 | nm | — | 3.0 | ||||||||||||||||||||||||
Interest income and other, net | 97.0 | 90.1 | 7.7 | 0.3 | 0.3 | ||||||||||||||||||||||||
Interest expense | (482.9) | (469.8) | 2.8 | (1.5) | (1.6) | ||||||||||||||||||||||||
Earnings before income taxes | 4,231.9 | 5,356.9 | (21.0) | 13.1 | 18.4 | ||||||||||||||||||||||||
Income tax expense | 948.5 | 1,156.6 | (18.0) | 2.9 | 4.0 | ||||||||||||||||||||||||
Net earnings including noncontrolling interests | 3,283.4 | 4,200.3 | (21.8) | 10.2 | 14.5 | ||||||||||||||||||||||||
Net earnings attributable to noncontrolling interests | 1.8 | 1.0 | 80.0 | 0.0 | 0.0 | ||||||||||||||||||||||||
Net earnings attributable to Starbucks | $ | 3,281.6 | $ | 4,199.3 | (21.9) | 10.2 | % | 14.5 | % | ||||||||||||||||||||
Net earnings per common share - diluted | $ | 2.83 | $ | 3.54 | (20.1) | % | |||||||||||||||||||||||
Weighted avg. shares outstanding - diluted | 1,158.5 | 1,185.5 | |||||||||||||||||||||||||||
Cash dividends declared per share | $ | 2.00 | $ | 2.29 | |||||||||||||||||||||||||
Supplemental Ratios: | |||||||||||||||||||||||||||||
Store operating expenses as a % of company-operated store revenues | 51.0 | % | 48.5 | % | |||||||||||||||||||||||||
Effective tax rate including noncontrolling interests | 22.4 | % | 21.6 | % |
Oct 2, 2022 | Oct 3, 2021 | % Change | Oct 2, 2022 | Oct 3, 2021 | |||||||||||||||||||||||||
Quarter Ended | (13 Weeks Ended) | (14 Weeks Ended) | As a % of North America total net revenues | ||||||||||||||||||||||||||
Net revenues: | |||||||||||||||||||||||||||||
Company-operated stores | $ | 5,550.5 | $ | 5,254.3 | 5.6 | % | 90.5 | % | 91.2 | % | |||||||||||||||||||
Licensed stores | 583.4 | 506.5 | 15.2 | 9.5 | 8.8 | ||||||||||||||||||||||||
Other | 0.5 | 2.2 | (77.3) | 0.0 | 0.0 | ||||||||||||||||||||||||
Total net revenues | 6,134.4 | 5,763.0 | 6.4 | 100.0 | 100.0 | ||||||||||||||||||||||||
Product and distribution costs | 1,770.6 | 1,580.3 | 12.0 | 28.9 | 27.4 | ||||||||||||||||||||||||
Store operating expenses | 2,862.2 | 2,570.8 | 11.3 | 46.7 | 44.6 | ||||||||||||||||||||||||
Other operating expenses | 51.4 | 47.3 | 8.7 | 0.8 | 0.8 | ||||||||||||||||||||||||
Depreciation and amortization expenses | 205.2 | 189.9 | 8.1 | 3.3 | 3.3 | ||||||||||||||||||||||||
General and administrative expenses | 78.8 | 78.4 | 0.5 | 1.3 | 1.4 | ||||||||||||||||||||||||
Restructuring and impairments | 24.4 | 40.5 | (39.8) | 0.4 | 0.7 | ||||||||||||||||||||||||
Total operating expenses | 4,992.6 | 4,507.2 | 10.8 | 81.4 | 78.2 | ||||||||||||||||||||||||
Operating income | $ | 1,141.8 | $ | 1,255.8 | (9.1) | % | 18.6 | % | 21.8 | % | |||||||||||||||||||
Supplemental Ratio: | |||||||||||||||||||||||||||||
Store operating expenses as a % of company-operated store revenues | 51.6 | % | 48.9 | % | |||||||||||||||||||||||||
Oct 2, 2022 | Oct 3, 2021 | % Change | Oct 2, 2022 | Oct 3, 2021 | |||||||||||||||||||||||||
Year Ended | (52 Weeks Ended) | (53 Weeks Ended) | As a % of North America total net revenues | ||||||||||||||||||||||||||
Net revenues: | |||||||||||||||||||||||||||||
Company-operated stores | $ | 21,214.2 | $ | 18,737.3 | 13.2 | % | 90.8 | % | 91.6 | % | |||||||||||||||||||
Licensed stores | 2,150.5 | 1,702.2 | 26.3 | 9.2 | 8.3 | ||||||||||||||||||||||||
Other | 6.1 | 8.4 | (27.4) | 0.0 | 0.0 | ||||||||||||||||||||||||
Total net revenues | 23,370.8 | 20,447.9 | 14.3 | 100.0 | 100.0 | ||||||||||||||||||||||||
Product and distribution costs | 6,677.2 | 5,453.8 | 22.4 | 28.6 | 26.7 | ||||||||||||||||||||||||
Store operating expenses | 10,860.0 | 9,359.5 | 16.0 | 46.5 | 45.8 | ||||||||||||||||||||||||
Other operating expenses | 202.1 | 166.0 | 21.7 | 0.9 | 0.8 | ||||||||||||||||||||||||
Depreciation and amortization expenses | 808.4 | 753.9 | 7.2 | 3.5 | 3.7 | ||||||||||||||||||||||||
General and administrative expenses | 303.3 | 300.0 | 1.1 | 1.3 | 1.5 | ||||||||||||||||||||||||
Restructuring and impairments | 33.3 | 155.4 | (78.6) | 0.1 | 0.8 | ||||||||||||||||||||||||
Total operating expenses | 18,884.3 | 16,188.6 | 16.7 | 80.8 | 79.2 | ||||||||||||||||||||||||
Operating income | $ | 4,486.5 | $ | 4,259.3 | 5.3 | % | 19.2 | % | 20.8 | % | |||||||||||||||||||
Supplemental Ratio: | |||||||||||||||||||||||||||||
Store operating expenses as a % of company-operated store revenues | 51.2 | % | 50.0 | % | |||||||||||||||||||||||||
Oct 2, 2022 | Oct 3, 2021 | % Change | Oct 2, 2022 | Oct 3, 2021 | |||||||||||||||||||||||||
Quarter Ended | (13 Weeks Ended) | (14 Weeks Ended) | As a % of International total net revenues | ||||||||||||||||||||||||||
Net revenues: | |||||||||||||||||||||||||||||
Company-operated stores | $ | 1,350.9 | $ | 1,610.0 | (16.1) | % | 76.0 | % | 84.1 | % | |||||||||||||||||||
Licensed stores | 415.0 | 288.0 | 44.1 | 23.4 | 15.0 | ||||||||||||||||||||||||
Other | 11.1 | 16.6 | (33.1) | 0.6 | 0.9 | ||||||||||||||||||||||||
Total net revenues | 1,777.0 | 1,914.6 | (7.2) | 100.0 | 100.0 | ||||||||||||||||||||||||
Product and distribution costs | 611.0 | 605.1 | 1.0 | 34.4 | 31.6 | ||||||||||||||||||||||||
Store operating expenses | 682.5 | 702.6 | (2.9) | 38.4 | 36.7 | ||||||||||||||||||||||||
Other operating expenses | 52.4 | 39.8 | 31.7 | 2.9 | 2.1 | ||||||||||||||||||||||||
Depreciation and amortization expenses | 121.5 | 131.6 | (7.7) | 6.8 | 6.9 | ||||||||||||||||||||||||
General and administrative expenses | 92.6 | 98.4 | (5.9) | 5.2 | 5.1 | ||||||||||||||||||||||||
Total operating expenses | 1,560.0 | 1,577.5 | (1.1) | 87.8 | 82.4 | ||||||||||||||||||||||||
Income from equity investees | 0.6 | 40.3 | (98.5) | 0.0 | 2.1 | ||||||||||||||||||||||||
Operating income | $ | 217.6 | $ | 377.4 | (42.3) | % | 12.2 | % | 19.7 | % | |||||||||||||||||||
Supplemental Ratio: | |||||||||||||||||||||||||||||
Store operating expenses as a % of company-operated store revenues | 50.5 | % | 43.6 | % | |||||||||||||||||||||||||
Oct 2, 2022 | Oct 3, 2021 | % Change | Oct 2, 2022 | Oct 3, 2021 | |||||||||||||||||||||||||
Year Ended | (52 Weeks Ended) | (53 Weeks Ended) | As a % of International total net revenues | ||||||||||||||||||||||||||
Net revenues: | |||||||||||||||||||||||||||||
Company-operated stores | $ | 5,361.9 | $ | 5,869.7 | (8.7) | % | 77.3 | % | 84.8 | % | |||||||||||||||||||
Licensed stores | 1,505.0 | 981.4 | 53.4 | 21.7 | 14.2 | ||||||||||||||||||||||||
Other | 73.2 | 70.5 | 3.8 | 1.1 | 1.0 | ||||||||||||||||||||||||
Total net revenues | 6,940.1 | 6,921.6 | 0.3 | 100.0 | 100.0 | ||||||||||||||||||||||||
Product and distribution costs | 2,357.7 | 2,187.3 | 7.8 | 34.0 | 31.6 | ||||||||||||||||||||||||
Store operating expenses | 2,701.8 | 2,571.4 | 5.1 | 38.9 | 37.2 | ||||||||||||||||||||||||
Other operating expenses | 191.4 | 147.3 | 29.9 | 2.8 | 2.1 | ||||||||||||||||||||||||
Depreciation and amortization expenses | 513.0 | 544.7 | (5.8) | 7.4 | 7.9 | ||||||||||||||||||||||||
General and administrative expenses | 345.3 | 360.5 | (4.2) | 5.0 | 5.2 | ||||||||||||||||||||||||
Total operating expenses | 6,109.2 | 5,811.2 | 5.1 | 88.0 | 84.0 | ||||||||||||||||||||||||
Income from equity investees | 2.3 | 135.3 | (98.3) | 0.0 | 2.0 | ||||||||||||||||||||||||
Operating income | $ | 833.2 | $ | 1,245.7 | (33.1) | % | 12.0 | % | 18.0 | % | |||||||||||||||||||
Supplemental Ratio: | |||||||||||||||||||||||||||||
Store operating expenses as a % of company-operated store revenues | 50.4 | % | 43.8 | % | |||||||||||||||||||||||||
Oct 2, 2022 | Oct 3, 2021 | % Change | Oct 2, 2022 | Oct 3, 2021 | |||||||||||||||||||||||||
Quarter Ended | (13 Weeks Ended) | (14 Weeks Ended) | As a % of Channel Development total net revenues | ||||||||||||||||||||||||||
Net revenues: | $ | 483.7 | $ | 438.3 | 10.4 | % | |||||||||||||||||||||||
Product and distribution costs | 309.0 | 277.5 | 11.4 | 63.9 | % | 63.3 | % | ||||||||||||||||||||||
Other operating expenses | 16.0 | 17.0 | (5.9) | 3.3 | 3.9 | ||||||||||||||||||||||||
Depreciation and amortization expenses | — | 0.3 | nm | — | 0.1 | ||||||||||||||||||||||||
General and administrative expenses | 4.1 | 3.4 | 20.6 | 0.8 | 0.8 | ||||||||||||||||||||||||
Total operating expenses | 329.1 | 298.2 | 10.4 | 68.0 | 68.0 | ||||||||||||||||||||||||
Income from equity investees | 90.0 | 79.7 | 12.9 | 18.6 | 18.2 | ||||||||||||||||||||||||
Operating income | $ | 244.6 | $ | 219.8 | 11.3 | % | 50.6 | % | 50.1 | % | |||||||||||||||||||
Oct 2, 2022 | Oct 3, 2021 | % Change | Oct 2, 2022 | Oct 3, 2021 | |||||||||||||||||||||||||
Year Ended | (52 Weeks Ended) | (53 Weeks Ended) | As a % of Channel Development total net revenues | ||||||||||||||||||||||||||
Net revenues | $ | 1,843.6 | $ | 1,593.6 | 15.7 | % | |||||||||||||||||||||||
Product and distribution costs | 1,194.2 | 1,011.2 | 18.1 | 64.8 | % | 63.5 | % | ||||||||||||||||||||||
Other operating expenses | 51.6 | 31.3 | 64.9 | 2.8 | 2.0 | ||||||||||||||||||||||||
Depreciation and amortization expenses | 0.1 | 1.2 | (91.7) | 0.0 | 0.1 | ||||||||||||||||||||||||
General and administrative expenses | 12.2 | 10.8 | 13.0 | 0.7 | 0.7 | ||||||||||||||||||||||||
Total operating expenses | 1,258.1 | 1,054.5 | 19.3 | 68.2 | 66.2 | ||||||||||||||||||||||||
Income from equity investees | 231.8 | 250.0 | (7.3) | 12.6 | 15.7 | ||||||||||||||||||||||||
Operating income | $ | 817.3 | $ | 789.1 | 3.6 | % | 44.3 | % | 49.5 | % |
Oct 2, 2022 | Oct 3, 2021 | % Change | |||||||||||||||
Quarter Ended | (13 Weeks Ended) | (14 Weeks Ended) | |||||||||||||||
Net revenues | $ | 19.1 | $ | 30.8 | (38.0) | % | |||||||||||
Product and distribution costs | 20.4 | 28.2 | (27.7) | ||||||||||||||
Other operating expenses | 3.3 | 4.5 | (26.7) | ||||||||||||||
Depreciation and amortization expenses | 30.7 | 32.9 | (6.7) | ||||||||||||||
General and administrative expenses | 362.5 | 321.0 | 12.9 | ||||||||||||||
Restructuring and impairments | 10.7 | 15.0 | (28.7) | ||||||||||||||
Total operating expenses | 427.6 | 401.6 | 6.5 | ||||||||||||||
Operating loss | $ | (408.5) | $ | (370.8) | 10.2 | % | |||||||||||
Oct 2, 2022 | Oct 3, 2021 | % Change | |||||||||||||||
Year Ended | (52 Weeks Ended) | (53 Weeks Ended) | |||||||||||||||
Net revenues | $ | 95.8 | $ | 97.5 | (1.7) | % | |||||||||||
Product and distribution costs | 88.3 | 86.4 | 2.2 | ||||||||||||||
Other operating expenses | 16.4 | 14.9 | 10.1 | ||||||||||||||
Depreciation and amortization expenses | 126.4 | 141.9 | (10.9) | ||||||||||||||
General and administrative expenses | 1,371.2 | 1,261.3 | 8.7 | ||||||||||||||
Restructuring and impairments | 12.7 | 15.0 | (15.3) | ||||||||||||||
Total operating expenses | 1,615.0 | 1,519.5 | 6.3 | ||||||||||||||
Operating loss | $ | (1,519.2) | $ | (1,422.0) | 6.8 | % |
Oct 2, 2022 | Oct 3, 2021 | ||||||||||
ASSETS | |||||||||||
Current assets: | |||||||||||
Cash and cash equivalents | $ | 2,818.4 | $ | 6,455.7 | |||||||
Short-term investments | 364.5 | 162.2 | |||||||||
Accounts receivable, net | 1,175.5 | 940.0 | |||||||||
Inventories | 2,176.6 | 1,603.9 | |||||||||
Prepaid expenses and other current assets | 483.7 | 594.6 | |||||||||
Total current assets | 7,018.7 | 9,756.4 | |||||||||
Long-term investments | 279.1 | 281.7 | |||||||||
Equity investments | 311.2 | 268.5 | |||||||||
Property, plant and equipment, net | 6,560.5 | 6,369.5 | |||||||||
Operating lease, right-of-use asset | 8,015.6 | 8,236.0 | |||||||||
Deferred income taxes, net | 1,799.7 | 1,874.8 | |||||||||
Other long-term assets | 554.2 | 578.5 | |||||||||
Other intangible assets | 155.9 | 349.9 | |||||||||
Goodwill | 3,283.5 | 3,677.3 | |||||||||
TOTAL ASSETS | $ | 27,978.4 | $ | 31,392.6 | |||||||
LIABILITIES AND SHAREHOLDERS' EQUITY/(DEFICIT) | |||||||||||
Current liabilities: | |||||||||||
Accounts payable | $ | 1,441.4 | $ | 1,211.6 | |||||||
Accrued liabilities | 2,137.1 | 2,321.2 | |||||||||
Accrued payroll and benefits | 761.7 | 772.3 | |||||||||
Current portion of operating lease liability | 1,245.7 | 1,251.3 | |||||||||
Stored value card liability and current portion of deferred revenue | 1,641.9 | 1,596.1 | |||||||||
Short-term debt | 175.0 | — | |||||||||
Current portion of long-term debt | 1,749.0 | 998.9 | |||||||||
Total current liabilities | 9,151.8 | 8,151.4 | |||||||||
Long-term debt | 13,119.9 | 13,616.9 | |||||||||
Operating lease liability | 7,515.2 | 7,738.0 | |||||||||
Deferred revenue | 6,279.7 | 6,463.0 | |||||||||
Other long-term liabilities | 610.5 | 737.8 | |||||||||
Total liabilities | 36,677.1 | 36,707.1 | |||||||||
Shareholders' deficit: | |||||||||||
Common stock ($0.001 par value) — authorized, 2,400.0 shares; issued and outstanding, 1,147.9 and 1,180.0 shares, respectively | 1.1 | 1.2 | |||||||||
Additional paid-in capital | 205.3 | 846.1 | |||||||||
Retained deficit | (8,449.8) | (6,315.7) | |||||||||
Accumulated other comprehensive income/(loss) | (463.2) | 147.2 | |||||||||
Total shareholders’ deficit | (8,706.6) | (5,321.2) | |||||||||
Noncontrolling interests | 7.9 | 6.7 | |||||||||
Total deficit | (8,698.7) | (5,314.5) | |||||||||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY/(DEFICIT) | $ | 27,978.4 | $ | 31,392.6 |
Year Ended | |||||||||||||||||
Oct 2, 2022 | Oct 3, 2021 | Sep 27, 2020 | |||||||||||||||
OPERATING ACTIVITIES: | |||||||||||||||||
Net earnings including noncontrolling interests | $ | 3,283.4 | $ | 4,200.3 | $ | 924.7 | |||||||||||
Adjustments to reconcile net earnings to net cash provided by operating activities: | |||||||||||||||||
Depreciation and amortization | 1,529.4 | 1,524.1 | 1,503.2 | ||||||||||||||
Deferred income taxes, net | (37.8) | (146.2) | (25.8) | ||||||||||||||
Income earned from equity method investees | (268.7) | (347.3) | (280.7) | ||||||||||||||
Distributions received from equity method investees | 231.2 | 336.0 | 227.7 | ||||||||||||||
Net gain resulting from divestiture of certain operations | — | (864.5) | — | ||||||||||||||
Stock-based compensation | 271.5 | 319.1 | 248.6 | ||||||||||||||
Non-cash lease costs | 1,497.7 | 1,248.6 | 1,197.6 | ||||||||||||||
Loss on retirement and impairment of assets | 91.4 | 226.2 | 454.4 | ||||||||||||||
Other | (67.8) | (6.0) | 24.5 | ||||||||||||||
Cash provided by/(used in) changes in operating assets and liabilities: | |||||||||||||||||
Accounts receivable | (326.1) | (43.0) | (2.7) | ||||||||||||||
Inventories | (641.0) | (49.8) | (10.9) | ||||||||||||||
Income taxes payable | (149.6) | 286.1 | (1,214.6) | ||||||||||||||
Accounts payable | 345.5 | 189.9 | (210.8) | ||||||||||||||
Deferred revenue | (75.8) | (6.1) | 31.0 | ||||||||||||||
Operating lease liability | (1,625.6) | (1,488.1) | (1,231.4) | ||||||||||||||
Other operating assets and liabilities | 339.6 | 609.8 | (37.0) | ||||||||||||||
Net cash provided by operating activities | 4,397.3 | 5,989.1 | 1,597.8 | ||||||||||||||
INVESTING ACTIVITIES: | |||||||||||||||||
Purchases of investments | (377.9) | (432.0) | (443.9) | ||||||||||||||
Sales of investments | 72.6 | 143.2 | 186.7 | ||||||||||||||
Maturities and calls of investments | 67.3 | 345.5 | 73.7 | ||||||||||||||
Additions to property, plant and equipment | (1,841.3) | (1,470.0) | (1,483.6) | ||||||||||||||
Net proceeds from the divestiture of certain operations | 59.3 | 1,175.0 | — | ||||||||||||||
Other | (126.3) | (81.2) | (44.4) | ||||||||||||||
Net cash used in investing activities | (2,146.3) | (319.5) | (1,711.5) | ||||||||||||||
FINANCING ACTIVITIES: | |||||||||||||||||
Net proceeds/(payments) from issuance of commercial paper | 175.0 | (296.5) | — | ||||||||||||||
Net proceeds from issuance of short-term debt | 36.6 | 215.1 | 1,406.6 | ||||||||||||||
Repayments of short-term debt | (36.6) | (349.8) | (967.7) | ||||||||||||||
Proceeds from issuance of long-term debt | 1,498.1 | — | 4,727.6 | ||||||||||||||
Repayments of long-term debt | (1,000.0) | (1,250.0) | — | ||||||||||||||
Proceeds from issuance of common stock | 101.6 | 246.2 | 298.8 | ||||||||||||||
Cash dividends paid | (2,263.3) | (2,119.0) | (1,923.5) | ||||||||||||||
Repurchase of common stock | (4,013.0) | — | (1,698.9) | ||||||||||||||
Minimum tax withholdings on share-based awards | (127.2) | (97.0) | (91.9) | ||||||||||||||
Other | (9.2) | — | (37.7) | ||||||||||||||
Net cash provided by/(used in) financing activities | (5,638.0) | (3,651.0) | 1,713.3 | ||||||||||||||
Effect of exchange rate changes on cash and cash equivalents | (250.3) | 86.2 | 64.7 | ||||||||||||||
Net increase/(decrease) in cash and cash equivalents | (3,637.3) | 2,104.8 | 1,664.3 | ||||||||||||||
CASH AND CASH EQUIVALENTS: | |||||||||||||||||
Beginning of period | 6,455.7 | 4,350.9 | 2,686.6 | ||||||||||||||
End of period | $ | 2,818.4 | $ | 6,455.7 | $ | 4,350.9 | |||||||||||
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | |||||||||||||||||
Cash paid during the period for: | |||||||||||||||||
Interest, net of capitalized interest | $ | 474.7 | $ | 501.1 | $ | 396.9 | |||||||||||
Income taxes | $ | 1,157.6 | $ | 756.3 | $ | 1,699.1 |
Quarter Ended | Change (%) | ||||||||||||||||
($ in millions) | Oct 2, 2022 | Oct 3, 2021 | |||||||||||||||
(13 Weeks Ended) | (14 Weeks Ended) | ||||||||||||||||
Revenues | $5,703.3 | $5,333.4 | 7% | ||||||||||||||
Change in Comparable Store Sales (1) | 11% | 22% | |||||||||||||||
Change in Transactions | 1% | 19% | |||||||||||||||
Change in Ticket | 10% | 3% | |||||||||||||||
Store Count | 15,878 | 15,450 | 3% | ||||||||||||||
(1) Includes only Starbucks® company-operated stores open 13 months or longer. Comparable store sales exclude Siren Retail stores. Stores that are temporarily closed or operating at reduced hours due to the COVID-19 pandemic remain in comparable store sales while stores identified for permanent closure have been removed. | |||||||||||||||||
Quarter Ended | Change (%) | ||||||||||||||||
($ in millions) | Oct 2, 2022 | Oct 3, 2021 | |||||||||||||||
(13 Weeks Ended) | (14 Weeks Ended) | ||||||||||||||||
Revenues | $775.6 | $964.0 | (20)% | ||||||||||||||
Change in Comparable Store Sales (1) | (16)% | (7)% | |||||||||||||||
Change in Transactions | (17)% | (2)% | |||||||||||||||
Change in Ticket | 1% | (5)% | |||||||||||||||
Store Count | 6,021 | 5,360 | 12% | ||||||||||||||
(1)Includes only Starbucks® company-operated stores open 13 months or longer. Comparable store sales exclude the effects of fluctuations in foreign currency exchange rates, stores identified for permanent closure and Siren Retail stores. Stores that are temporarily closed or operating at reduced hours due to the COVID-19 pandemic remain in comparable store sales while stores identified for permanent closure have been removed. |
Net stores opened/(closed) and transferred during the period | |||||||||||||||||||||||||||||||||||
Quarter Ended | Year Ended | Stores open as of | |||||||||||||||||||||||||||||||||
Oct 2, 2022 | Oct 3, 2021 | Oct 2, 2022 | Oct 3, 2021 | Oct 2, 2022 | Oct 3, 2021 | ||||||||||||||||||||||||||||||
North America: | |||||||||||||||||||||||||||||||||||
Company-operated stores | 166 | 1 | 355 | (248) | 10,216 | 9,861 | |||||||||||||||||||||||||||||
Licensed stores | 79 | 73 | 114 | 134 | 7,079 | 6,965 | |||||||||||||||||||||||||||||
Total North America | 245 | 74 | 469 | (114) | 17,295 | 16,826 | |||||||||||||||||||||||||||||
International: | |||||||||||||||||||||||||||||||||||
Company-operated stores | 320 | 259 | 765 | 744 | 8,037 | 7,272 | |||||||||||||||||||||||||||||
Licensed stores | 198 | 205 | 644 | 543 | 10,379 | 9,735 | |||||||||||||||||||||||||||||
Total International | 518 | 464 | 1,409 | 1,287 | 18,416 | 17,007 | |||||||||||||||||||||||||||||
Total Company | 763 | 538 | 1,878 | 1,173 | 35,711 | 33,833 | |||||||||||||||||||||||||||||
Non-GAAP Exclusion | Rationale | ||||
Restructuring and impairment costs | Management excludes restructuring and impairment costs relating to the write-down of certain company-operated store and corporate assets. Management excludes these items for reasons discussed above. These expenses are anticipated to be completed within a finite period of time. | ||||
Transaction and integration-related costs | Management excludes transaction and integration costs, primarily amortization, of the acquired intangible assets for reasons discussed above. Additionally, the majority of these costs will be recognized over a finite period of time. | ||||
Nestlé transaction and integration-related costs | Management excludes the transaction and integration-related costs related to the Global Coffee Alliance with Nestlé (inclusive of incremental costs to grow and develop the alliance) for reasons discussed above. | ||||
Sale of certain company-operated business and joint venture operations | Management excludes the gain related to the sale of Evolution Fresh, as well as our South Korea and Russia joint venture operations as these incremental gains were specific to the sale activity and for reasons discussed above. | ||||
Quarter Ended (1) | |||||||||||||||||
Consolidated | Oct 2, 2022 | Oct 3, 2021 (2) | Change | ||||||||||||||
(13 Weeks Ended) | (14 Weeks Ended) | ||||||||||||||||
Operating income, as reported (GAAP) | $ | 1,195.5 | $ | 1,482.2 | (19.3)% | ||||||||||||
Restructuring and impairment costs (3) | 35.1 | 55.5 | |||||||||||||||
Transaction and integration-related costs (4) | 42.0 | 48.1 | |||||||||||||||
Nestlé transaction and integration-related costs (5) | — | 0.1 | |||||||||||||||
Non-GAAP operating income | $ | 1,272.6 | $ | 1,585.9 | (19.8)% | ||||||||||||
Operating margin, as reported (GAAP) | 14.2 | % | 18.2 | % | (400) bps | ||||||||||||
Restructuring and impairment costs (3) | 0.4 | 0.7 | |||||||||||||||
Transaction and integration-related costs (4) | 0.5 | 0.6 | |||||||||||||||
Nestlé transaction and integration-related costs (5) | — | 0.0 | |||||||||||||||
Non-GAAP operating margin | 15.1 | % | 19.5 | % | (440) bps | ||||||||||||
Diluted net earnings per share, as reported (GAAP) | $ | 0.76 | $ | 1.49 | (49.0)% | ||||||||||||
Restructuring and impairment costs (3) | 0.03 | 0.05 | |||||||||||||||
Transaction and integration-related costs (4) | 0.04 | 0.04 | |||||||||||||||
Gain resulting from divestiture of certain company-operated business and joint venture operations | — | (0.73) | |||||||||||||||
Income tax effect on Non-GAAP adjustments (6) | (0.02) | 0.14 | |||||||||||||||
Non-GAAP EPS | $ | 0.81 | $ | 0.99 | (18.2)% |
Q4 QTD FY22 | North America | International | Channel Development | Corporate and Other | Consolidated | |||||||||||||||
Statement of Earnings Line Item | Restructuring and Impairment Costs | Transaction and Integration-Related Costs | Nestlé Transaction and Integration-Related Costs | Transaction and Integration-Related Costs | Restructuring and Impairment Costs | Total Non-GAAP Adjustment | ||||||||||||||
Other operating expenses | $ | — | $ | — | $ | — | $ | 2.0 | $ | — | $ | 2.0 | ||||||||
Depreciation and amortization expenses | — | 40.0 | — | — | — | 40.0 | ||||||||||||||
Restructuring and impairments | 24.4 | — | — | — | 10.7 | 35.1 | ||||||||||||||
Total impact to operating income | $ | (24.4) | $ | (40.0) | $ | — | $ | (2.0) | $ | (10.7) | $ | (77.1) | ||||||||
Non-Operating gain | ||||||||||||||||||||
Interest income and other, net | $ | 0.3 |
Year Ended (1) | |||||||||||||||||
Consolidated | Oct 2, 2022 | Oct 3, 2021 (2) | Change | ||||||||||||||
(52 Weeks Ended) | (53 Weeks Ended) | ||||||||||||||||
Operating income, as reported (GAAP) | $ | 4,617.8 | $ | 4,872.1 | (5.2)% | ||||||||||||
Restructuring and impairment costs (3) | 46.0 | 170.4 | |||||||||||||||
Transaction and integration-related costs (4) | 191.2 | 198.1 | |||||||||||||||
Nestlé transaction and integration-related costs (5) | — | (22.7) | |||||||||||||||
Non-GAAP operating income | $ | 4,855.0 | $ | 5,217.9 | (7.0)% | ||||||||||||
Operating margin, as reported (GAAP) | 14.3 | % | 16.8 | % | (250) bps | ||||||||||||
Restructuring and impairment costs (3) | 0.1 | 0.6 | |||||||||||||||
Transaction and integration-related costs (4) | 0.6 | 0.7 | |||||||||||||||
Nestlé transaction and integration-related costs (5) | — | (0.1) | |||||||||||||||
Non-GAAP operating margin | 15.1 | % | 18.0 | % | (290) bps | ||||||||||||
Diluted net earnings per share, as reported (GAAP) | $ | 2.83 | $ | 3.54 | (20.1)% | ||||||||||||
Restructuring and impairment costs (3) | 0.04 | 0.14 | |||||||||||||||
Transaction and integration-related costs (4) | 0.17 | 0.17 | |||||||||||||||
Nestlé transaction and integration-related costs (5) | — | (0.02) | |||||||||||||||
Gain resulting from divestiture of certain company-operated business and joint venture operations | (0.01) | (0.73) | |||||||||||||||
Correction of prior year estimated tax expense (6) | (0.02) | — | |||||||||||||||
Income tax effect on Non-GAAP adjustments (7) | (0.05) | 0.10 | |||||||||||||||
Non-GAAP EPS | $ | 2.96 | $ | 3.20 | (7.5)% |
Q4 YTD FY22 | North America | International | Channel Development | Corporate and Other | Consolidated | |||||||||||||||
Statement of Earnings Line Item | Restructuring and Impairment Costs | Transaction and Integration-Related Costs | Nestlé Transaction and Integration-Related Costs | Transaction and Integration-Related Costs | Restructuring and Impairment Costs | Total Non-GAAP Adjustment | ||||||||||||||
Other operating expenses | $ | — | $ | 20.0 | $ | — | $ | 4.0 | $ | — | $ | 24.0 | ||||||||
Depreciation and amortization expenses | — | 167.1 | — | — | — | 167.1 | ||||||||||||||
General and administrative expenses | — | 0.1 | — | — | — | 0.1 | ||||||||||||||
Restructuring and impairments | 33.3 | — | — | — | 12.7 | 46.0 | ||||||||||||||
Total impact to operating income | $ | (33.3) | $ | (187.2) | $ | — | $ | (4.0) | $ | (12.7) | $ | (237.2) | ||||||||
Non-Operating gain | ||||||||||||||||||||
Interest income and other, net | $ | 8.2 | ||||||||||||||||||
North America | International | Channel Development | Corporate and Other | Consolidated | |||||||||||||||||||||||||
Revenue for the quarter ended October 3, 2021 as reported (GAAP) - 14-weeks | $ | 5,763.0 | $ | 1,914.6 | $ | 438.3 | $ | 30.8 | $ | 8,146.7 | |||||||||||||||||||
Impact of the extra week | (427.3) | (126.6) | (20.5) | (1.2) | (575.6) | ||||||||||||||||||||||||
Revenue - 13-weeks | $ | 5,335.7 | $ | 1,788.0 | $ | 417.8 | $ | 29.6 | $ | 7,571.1 | |||||||||||||||||||
Revenue for the quarter ended October 2, 2022 (GAAP) - 13 weeks | $ | 6,134.4 | $ | 1,777.0 | $ | 483.7 | $ | 19.1 | $ | 8,414.2 | |||||||||||||||||||
Change (%) | 15 | % | (1) | % | 16 | % | (35) | % | 11 | % | |||||||||||||||||||
Revenue for the year ended October 3, 2021 as reported (GAAP) - 53-weeks | $ | 20,447.9 | $ | 6,921.6 | $ | 1,593.6 | $ | 97.5 | $ | 29,060.6 | |||||||||||||||||||
Impact of the extra week | (427.3) | (126.6) | (20.5) | (1.2) | (575.6) | ||||||||||||||||||||||||
Revenue - 52-weeks | $ | 20,020.6 | $ | 6,795.0 | $ | 1,573.1 | $ | 96.3 | $ | 28,485.0 | |||||||||||||||||||
Revenue for the year ended October 2, 2022 (GAAP) - 52 weeks | $ | 23,370.8 | $ | 6,940.1 | $ | 1,843.6 | $ | 95.8 | $ | 32,250.3 | |||||||||||||||||||
Change (%) | 17 | % | 2 | % | 17 | % | (1) | % | 13 | % | |||||||||||||||||||
Consolidated | ||||||||
Operating Margin for the quarter ended October 3, 2021 as reported (GAAP) - 14-weeks | 18.2 | % | ||||||
Non-GAAP Impact | 1.3 | % | ||||||
Non-GAAP Operating Margin - 14-weeks | 19.5 | % | ||||||
Impact of the extra week | (0.6) | % | ||||||
Non-GAAP Operating Margin - 13-weeks | 18.9 | % | ||||||
Operating Margin for the year ended October 3, 2021 as reported (GAAP) - 53-weeks | 16.8 | % | ||||||
Non-GAAP Impact | 1.2 | % | ||||||
Non-GAAP Operating Margin - 53-weeks | 18.0 | % | ||||||
Impact of the extra week | (0.2) | % | ||||||
Non-GAAP Operating Margin - 52-weeks | 17.8 | % | ||||||
Oct 2, 2022 | Oct 3, 2021 | % Change | |||||||||||||||
Quarter Ended | |||||||||||||||||
GAAP Earnings Per Share - 14-weeks | $ | 1.49 | |||||||||||||||
Non-GAAP Impact | (0.50) | ||||||||||||||||
Non-GAAP Earnings Per Share - 14-weeks | 0.99 | ||||||||||||||||
Impact of the extra week | (0.10) | ||||||||||||||||
Non-GAAP Earnings Per Share - 13-weeks | $ | 0.81 | $ | 0.89 | (9) | % | |||||||||||
Oct 2, 2022 | Oct 3, 2021 | % Change | |||||||||||||||
Year Ended | |||||||||||||||||
GAAP Earnings Per Share - 53-weeks | $ | 3.54 | |||||||||||||||
Non-GAAP Impact | (0.34) | ||||||||||||||||
Non-GAAP Earnings Per Share - 53-weeks | 3.20 | ||||||||||||||||
Impact of the extra week | (0.10) | ||||||||||||||||
Non-GAAP Earnings Per Share - 52-weeks | $ | 2.96 | $ | 3.10 | (5) | % |
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