Image source: Starbucks
(Reuters) – Starbucks Corp on Tuesday reported a smaller-than-expected drop in quarterly comparable store sales as more people used its drive-thru and delivery options to buy coffee and food during coronavirus-driven lockdowns.
The Seattle-based company, like many restaurants and coffee chains, took a big hit from government-imposed restrictions to check the spread of the pandemic, prompting it to rely more on its delivery and drive-thru services to make up for lost business.
Third-quarter comparable sales fell 40% globally and 41% in the Americas. Analysts had forecast a worldwide decline of 42.05% and a 42.82% drop for the Americas, according to IBES data from Refinitiv.
Chief Executive Officer Kevin Johnson said global business was steadily recovering and a vast majority of its stores around the world had reopened.
Total net revenue slumped about 38% to $4.22 billion, but still beat the average analyst estimate of $4.07 billion.
Reporting by Nivedita Balu in Bengaluru; Editing by Anil D’Silva.
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Source: Reuters
