Across all regions, Starbucks reported shrinking same-store sales and falling traffic.

Shares of the company fell 12% in extended trading.

“In a highly challenged environment, this quarter’s results do not reflect the power of our brand, our capabilities or the opportunities ahead,” CEO Laxman Narasimhan said in a statement. “It did not meet our expectations, but we understand the specific challenges and opportunities immediately in front of us.”

In the U.S., same-store sales decreased 3% as traffic sank 7%. This marks the second quarter that the company’s home market has struggled. Last quarter, executives blamed sluggish sales on boycotts targeting the company due to “misperceptions” of its stance on Israel.

  • Porto881@lemmy.worldEnglish
    25·
    10 months ago

    I don’t like their coffee, but it’s pretty cool that they’ve undercut local businesses and monopolized entire towns with their slavery coffee

    My guy what are you saying? How is anything Starbucks has done commendable?

    • Jakdracula@lemmy.worldEnglish
      5·
      10 months ago

      I guess I wasn’t clear.

      The dense clustering of Starbucks locations, often situated across the street from one another, has led to an oversaturation that has negatively impacted their sales.