Starbucks (SBUX) Q1 2026 earnings summary

Executive summary

• Q1 global revenue grew 5–6% to $9.9B, with global comparable store sales up 4% and 128 net new stores opened, driven by increased customer visits and the 'Back to Starbucks' strategy.

• North America revenue rose 3% to $7.3B, international revenue increased 10% to $2.1B, and China comparable sales grew 7%.

• Starbucks Rewards active members reached a record 35.5M, with both rewards and non-rewards transactions growing for the first time in eight quarters.

• Operating margin contracted to 9.0% GAAP (down 290 bps) and 10.1% non-GAAP (down 180 bps); GAAP EPS was $0.26 (down 62%), non-GAAP EPS $0.56 (down 19%).

• Announced China JV with Boyu Capital, converting 8,011 company-operated stores to licensed, with Starbucks retaining a 40% stake.

Financial highlights

• Q1 consolidated revenue: $9.9B, up 5–6% year-over-year.

• North America revenue: $7.3B (+3%); International: $2.1B (+10%).

• Global comparable store sales: +4%; U.S. and North America: +4%; China: +7%.

• Operating margin: 9.0% GAAP (down 290 bps), 10.1% non-GAAP (down 180 bps); EPS: $0.26 GAAP, $0.56 non-GAAP.

• Channel development segment revenue up 19–20% year-over-year.

Outlook and guidance

• FY26 guidance: ≥3% global and U.S. comp sales growth, consolidated net revenue growth at a similar rate, and non-GAAP EPS of $2.15–$2.40.

• Net new coffeehouses: 600–650 globally, including 150–175 in the U.S. and 450–500 internationally (about half in China).

• Expect slight year-over-year operating margin improvement, with gains weighted to the back half of the year.

• Proceeds from China JV to be used for debt reduction and balance sheet strengthening.

• Restructuring plan expected to complete within fiscal 2026, with $140M in additional costs anticipated.