Starbucks raises full-year outlook as same-store sales jump 7.9%

Starbucks raised its full-year earnings outlook on July 29, 2026, after reporting its fourth consecutive quarter of same-store sales growth. The company now expects adjusted earnings per share for fiscal 2026 to be between $2.55 and $2.65, up from a prior forecast of $2.25 to $2.45.

The revised guidance also projects global same-store sales growth of nearly 6% and U.S. same-store sales growth of more than 6%, compared with earlier expectations of at least 5% for both metrics. CEO Brian Niccol said in a video accompanying the earnings release, "This was the quarter our momentum became truly measurable."

The upbeat outlook and stronger-than-expected quarterly results sent Starbucks shares up more than 9% in extended trading. For the quarter ended June 28, 2026, the company reported net income attributable to Starbucks of $1.05 billion, or 91 cents per share, compared with $558.3 million, or 49 cents per share, a year earlier. Excluding restructuring costs and other items, earnings were 85 cents per share, topping analyst estimates.

Net sales fell 1% to $9.3 billion, a decline attributed to the sale of a controlling stake in its China business. In November 2025, Starbucks announced a joint venture with Boyu Capital to take over operations in its second-largest market. Despite the revenue dip, same-store sales rose 7.9%, exceeding Wall Street's forecast of 6%, according to StreetAccount.

The company saw increases in both transactions and average check, signaling that customers are returning and spending more. U.S. same-store sales climbed 8.1%, with traffic up 4.5% and average ticket rising 3.5%, driven by modifications and food add-ons. Outside the U.S., same-store sales increased 5.7%.

Under Niccol's "Back to Starbucks" strategy, the chain has invested in labor and café renovations to improve service and ambiance, efforts that are now paying off after a period of sales declines and customer losses to rivals like Dutch Bros.