Starbucks (NASDAQ:SBUX) Full Year 2023 Results
Key Financial Results
- Revenue: US$36.0b (up 12% from FY 2022).
- Net income: US$4.12b (up 26% from FY 2022).
- Profit margin: 12% (up from 10% in FY 2022). The increase in margin was driven by higher revenue.
- EPS: US$3.60 (up from US$2.85 in FY 2022).
All figures shown in the chart above are for the trailing 12 month (TTM) period
Starbucks EPS Beats Expectations
Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 2.7%.
The primary driver behind last 12 months revenue was the North America segment contributing a total revenue of US$26.6b (74% of total revenue). Notably, cost of sales worth US$26.1b amounted to 73% of total revenue thereby underscoring the impact on earnings. The largest operating expense was General & Administrative costs, amounting to US$2.44b (42% of total expenses). Explore how SBUX's revenue and expenses shape its earnings.
Looking ahead, revenue is forecast to grow 8.9% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Hospitality industry in the US.
Performance of the American Hospitality industry.
The company's shares are up 2.0% from a week ago.
Risk Analysis
We don't want to rain on the parade too much, but we did also find 2 warning signs for Starbucks (1 can't be ignored!) that you need to be mindful of.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
About NasdaqGS:SBUX
Starbucks
Operates as a roaster, marketer, and retailer of coffee worldwide.
Established dividend payer and slightly overvalued.
