Starbucks same store sales drop 10% as coronavirus forced closures in US, China

Starbucks (SBUX) fiscal second-quarter results took a hit, as the company reported a steep drop in profit and comparable sales as the coronavirus crisis forced the shuttering of cafes in the U.S. and China, it’s two largest international markets.

Here are the key numbers from the report, and what Wall Street expected from the company, as compiled by Bloomberg:

The coffee giant was not immune to COVID-19 pandemic that’s wreaked havoc on the global economy with store closures and stay-at-home orders. When the virus first took hold in China earlier this year, Starbucks was among the first wave of multinationals to shutter stores in the Middle Kingdom.

The global coffee giant expects the impact of the virus to “intensify” in the fiscal third quarter and to “moderate” in the fiscal fourth quarter. Striking a tone of optimism, Starbucks sees a “substantial recovery” in China, its second-largest market that saw the impact of COVID-19 first.

During the quarter, Starbucks earnings plunged 47% from the 60 cents reported in the same period a year ago. In the U.S., comp sales were down 3%, while international comp sales fell 31%.

The company had previously noted in a recent filing that U.S. comp sales had been on track to deliver 8% growth for the first ten weeks of the quarter, but sales worsened because of the pandemic.

Julia La Roche is a Correspondent at Yahoo Finance. Follow her on Twitter

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