Starbucks Corporation is a leading global roaster, marketer, and retailer of specialty coffee, operating in 87 markets worldwide. The company sells high-quality coffees, teas, and other beverages, along with a variety of food items through its company-operated stores. Additionally, Starbucks licenses its trademarks through other channels, such as licensed stores and grocery and foodservice partnerships, primarily through the Global Coffee Alliance with Nestlé .
- Beverages - Offers a wide range of high-quality coffees, teas, and other beverages, which are the primary revenue drivers.
- Food Items - Provides a variety of food options, complementing its beverage offerings.
- Other Products - Includes packaged and single-serve coffees and teas, royalty and licensing revenues, and beverage-related ingredients.
- North America Segment - Encompasses operations in the U.S. and Canada, contributing significantly to the company's overall revenue.
- International Segment - Covers markets such as China, Japan, and Europe, expanding Starbucks' global presence.
- Channel Development Segment - Focuses on packaged coffee and ready-to-drink beverages, extending Starbucks' reach beyond its stores.
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| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
Brad Lerman Executive | EVP and Chief Legal Officer | Board Member at McKesson Corporation | Joined Starbucks in 2023. Former General Counsel at Medtronic and Fannie Mae. Leads Starbucks' Legal and Corporate Affairs organization. | |
Brady Brewer Executive | CEO of Starbucks International | None | Joined Starbucks in 2001. Former Chief Marketing Officer and COO of Starbucks Japan. Oversees international operations and global channel development. | |
Brian Niccol Executive | Chairman and CEO | Board Member at Walmart Inc. | Former CEO of Chipotle and Taco Bell, joined Starbucks as Chairman and CEO in 2024. Known for driving growth and innovation in the restaurant industry. | View Report → |
Rachel Ruggeri Executive | EVP and CFO | Board Member at Stryker Corporation | Longtime Starbucks leader, joined in 2001. Promoted to CFO in 2021. Previously held senior finance roles at Starbucks and Continental Mills. | |
Andy Campion Board | Director | Executive Chairman and CEO of Unrivaled Sports; Board Member at Williams-Sonoma, Inc. | Former COO of Nike. Brings expertise in global brand growth, operational excellence, and sustainability. | |
Beth Ford Board | Director | CEO of Land O'Lakes, Inc.; Board Member at Business Roundtable and Columbia University | CEO of Land O'Lakes since 2018. Recognized for leadership in sustainability and agribusiness. | |
Daniel Servitje Board | Director | CEO of Grupo Bimbo; Chair of Corporación Aura Solar | CEO of Grupo Bimbo since 1997. Leads the world’s largest baking company. Focused on sustainability and global business growth. | |
Jørgen Vig Knudstorp Board | Director | Special Partner at KIRKBI Group; Chair of BrainPOP & KIRKBI Education | Former CEO of LEGO Group. Known for brand development and sustainability efforts. | |
Mellody Hobson Board | Chair of the Board (through 2025 AGM) | Co-CEO of Ariel Investments; Board Member at JPMorgan Chase & Co. | Chair of Starbucks since 2021. Known for her expertise in corporate governance and financial markets. Will step down after the 2025 Annual Meeting of Shareholders. | |
Mike Sievert Board | Director | CEO of T-Mobile US, Inc. | CEO of T-Mobile since 2020. Known for leading the Sprint merger and expanding T-Mobile's 5G network. | |
Neal Mohan Board | Director | CEO of YouTube; Board Member at 23andMe Holding Co. | CEO of YouTube since 2023. Former Chief Product Officer at YouTube and SVP at Google. Brings expertise in digital marketing and innovation. | |
Ritch Allison Board | Director | Board Member at Kenvue, Inc. | Former CEO of Domino's Pizza. Expanded Domino's into 20+ countries and grew its global footprint. | |
Wei Zhang Board | Director | Board Member at Ralph Lauren Corporation | Former President of Alibaba Pictures Group. Brings expertise in global operations, e-commerce, and digital transformation. |
- You emphasized the need to ensure high-quality, handcrafted beverages are prepared quickly and handed directly to customers by baristas; how do you plan to address staffing issues and bottlenecks to improve operational efficiency during peak hours?
- With the acknowledgment that Mobile Order & Pay has been overwhelming the café experience, what specific strategies are you implementing to refine this service without compromising customer convenience?
- You mentioned the necessity to fix your pricing architecture and simplify an overly complex menu; how will these changes impact your product offerings and the overall customer perception of value?
- Given the challenges in returning Starbucks China to growth and improving international business performance, what are your plans to address these international market issues, and what timelines are you anticipating for improvement?
- You stated that focusing on Starbucks Rewards customers has led to neglecting communication with all customers; how will your marketing approach change to re-engage with the broader customer base, and what metrics will you use to measure success?
Research analysts who have asked questions during STARBUCKS earnings calls.
Andrew Charles
TD Cowen
5 questions for SBUX
David Palmer
Evercore ISI
5 questions for SBUX
David Tarantino
Robert W. Baird & Co.
5 questions for SBUX
Jeffrey Bernstein
Barclays
5 questions for SBUX
John Ivankoe
JPMorgan Chase & Co.
5 questions for SBUX
Jon Tower
Citigroup
5 questions for SBUX
Brian Harbour
Morgan Stanley
4 questions for SBUX
Danilo Gargiulo
AllianceBernstein
4 questions for SBUX
Lauren Silberman
Deutsche Bank
4 questions for SBUX
Sara Senatore
Bank of America
4 questions for SBUX
Christine Cho
Goldman Sachs Group
3 questions for SBUX
Peter Saleh
BTIG
3 questions for SBUX
Chris O'cull
Stifel Financial Corp
2 questions for SBUX
Christopher O'Cull
Stifel, Nicolaus & Company
2 questions for SBUX
Hyun Jin Cho
Goldman Sachs
2 questions for SBUX
Katherine Griffin
Bank of America
1 question for SBUX
Sharon Zackfia
William Blair & Company
1 question for SBUX
Zachary Fadem
Wells Fargo
1 question for SBUX
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
23.5 Degrees Topco Limited | 2025 | Starbucks acquired 100% ownership in 23.5 Degrees Topco Limited in Q1 fiscal 2025, converting 113 licensed stores to company-operated stores. The deal involved assets such as operating lease rights, intangibles, goodwill (adding $108.1 million), and property, plant, and equipment, contributing $27 million in incremental revenue without materially impacting consolidated financials. |
Evolution Fresh | 2022 | In May 2022, Starbucks agreed to sell the Evolution Fresh brand to Bolthouse Farms, with the transaction closing on August 1, 2022, and continued to sell its products in U.S. stores. This acquisition did not have a material impact on Starbucks’ consolidated financial statements. |
Recent press releases and 8-K filings for SBUX.
- Total Group sales of CHF 65.9 billion in 9M 2025, down 1.9% reported; organic growth of 3.3% driven by 0.6% real internal growth and 2.8% pricing
- Q3 2025 organic growth accelerated to 4.3%, with RIG recovering to 1.5% as growth investments and pricing actions took effect
- Increased Fuel for Growth cost-savings target to CHF 3.0 billion by end-2027, including planned reduction of ~16,000 roles to deliver CHF 1.0 billion annual savings by 2027
- 2025 guidance reiterated: expect organic sales growth above 2024, UTOP margin at or above 16.0%, while investing for medium-term growth
- Starbucks has introduced Protein Cold Foam and a new line of Protein Lattes across the U.S. and Canada, available year-round starting Sept. 29, 2025, with drinks delivering 15–36 g of protein per grande.
- Protein Cold Foam, made by blending unflavored whey into 2% milk, comes in flavors like banana, vanilla, chocolate, matcha, salted caramel and seasonal options, with a $2 upcharge for flavored foam and $1 for protein-boosted milk.
- A ready-to-drink version of Protein Cold Foam will be released later in 2025, and Starbucks says the protein-boosted milk can be customized into other beverages such as shaken espressos and Refreshers.
- The launch aligns with CEO Brian Niccol’s “Back to Starbucks” modernization strategy, under which Starbucks plans to cut about 900 jobs and close roughly 400 locations, leaving approximately 18,300 stores in the U.S. and Canada by year-end.
- Starbucks will close underperforming coffeehouses and eliminate about 900 non-retail/head-office roles as part of its $1 billion “Back to Starbucks” turnaround plan.
- North American store count is expected to drop by 1% to roughly 18,300 locations this fiscal year, down from 18,424 at the end of fiscal 2024.
- The restructuring charge includes $450 million for lease-break costs and $150 million for severance, following earlier layoffs of about 1,100 employees.
- Savings from the overhaul will be reinvested into stores via increased partner hours, upgraded designs and other customer-facing investments.
- Starbucks has unveiled the Green Apron Service initiative to cut order-to-delivery times to four minutes or less, investing over $500 million in additional labor and deploying Smart Queue technology across U.S. stores.
- CEO Brian Niccol plans to phase out or convert 80–90 mobile order–only locations by fiscal 2026 to restore the human connection central to the brand.
- Despite a 3.8% revenue increase to $9.46 billion, same-store sales fell 2% for the sixth consecutive quarter, and the share price is down nearly 2% over the past year.
- Early results from about 1,500 pilot stores show faster service, higher transactions, and improved customer satisfaction, generating cautious optimism among analysts.
- Melius Research initiated a sell rating on Starbucks with an $80 price target, implying 16% downside.
- The firm also initiated a sell rating on McDonald's with a $250 price target, implying 17% downside.
- Analysts argue that pricing has outpaced consumer experience, eroding value perception at both brands.
- A cost-per-calorie analysis shows McDonald's pricing is in line with fast-casual peers, intensifying the value challenge.
- Melius Research’s coverage now extends from retail food to restaurants, emphasizing value perception across channels.
- President Trump’s 50% tariff on Brazilian coffee imports effective August 1 is hard to circumvent given Brazil supplies 22% of U.S. coffee imports in 2024.
- TD Cowen estimates a 1.5–2% hit to Starbucks’ profitability if no mitigation measures are taken.
- Starbucks may use alternative coffee blends and leverage its vertical integration to absorb tariff costs instead of raising consumer prices.
- Starbucks’ iced beverages account for about two-thirds of its U.S. drink sales, supported by strong loyalty and digital programs, which could help offset margin pressure.
- Plans: Starbucks is exploring a partial sale of its China arm valued up to $10 billion, retaining a 30% stake and divesting the remainder to multiple investors.
- Bidders: Nearly 30 private equity firms, including Centurium Capital, Hillhouse Capital, Carlyle Group and KKR, have submitted non-binding offers ranging from $5 billion to $10 billion.
- Strategic review: Advised by Goldman Sachs, Starbucks expects to shortlist potential buyers within two months, though the transaction is unlikely to close this year.
- Market context: Starbucks’ China business—over 8% of global revenue—has seen market share fall from 34% in 2019 to 14% in 2024 amid rising local competition.
- Board expanded from nine to eleven members with the appointments of Dr. Dambisa Moyo and Marissa Mayer, effective June 25, 2025.
- Moyo brings over 30 years in macroeconomics and international affairs, leadership at Versaca Investments, and roles at Goldman Sachs, the World Bank, and major corporate boards.
- Mayer, founder and CEO of Sunshine AI, adds 20+ years in consumer technology from Yahoo! and Google, plus board experience at Walmart, AT&T, and Hilton Hotels & Resorts.
- These hires bolster the “Back to Starbucks” strategy on technology, transformation, and global affairs; the company also secured a $3 billion revolving credit facility maturing in 2030.
- President Trump criticized Israel and Iran over ceasefire breaches, while oil prices dropped nearly 4%, as traders unwound conflict-driven trades.
- Fed Chair Jerome Powell said the Fed is “well positioned to wait” on rate cuts until tariff impacts on growth and inflation are clear.
- Starbucks denied reports it would sell its China business and announced price cuts on tea-based drinks in China to drive sales.
- On June 13, 2025, Starbucks Corp. entered a $3.0 billion unsecured revolving credit facility maturing June 13, 2030, with a $150 million letter of credit sublimit.
- Borrowings bear interest based on the Secured Overnight Financing Rate (Term SOFR) or Base Rate plus a margin tied to the company’s credit ratings; upon default, the rate increases by 2%.
- The facility requires a minimum fixed charge coverage ratio of 2.50 to 1.00, contains customary events of default and allows an optional $1.0 billion accordion feature.