Restructuring, Impairment and Optimization Costs, International Transaction and Integration Costs, Nestlé Transaction and Integration-Related Costs, Restructuring, Impairment & Optimization Costs, View source version on Operating margin expanded 70 basis points to 35.5%, primarily due to the lapping of prior year Nestlé transaction costs, distribution efficiencies and favorable business mix shift, partially offset by incremental costs to develop and grow the Global Coffee Alliance. The company's fiscal year 2020 guidance is unchanged from what was provided in conjunction with its Q4 fiscal 2019 earnings report which excludes any impact of the coronavirus. Q1 FY20 operating income of $275.9 million grew 20% over Q1 FY19 operating income of $230.0 million. Represents the estimated impact of the U.S. Tax Cuts and Jobs Act, specifically the transition tax on undistributed foreign earnings, estimated incremental foreign withholding taxes on expected repatriated earnings and the re-measurement of deferred taxes. This is expected to be temporary. Certain non-GAAP measures included in our press release were not reconciled to the comparable GAAP financial measures because the GAAP measures are not accessible on a forward-looking basis. All rights reserved. The results from Siren Retail operations are not reflected in comparable store sales. The company repurchased 13.0 million shares of common stock in Q1 fiscal 2020; approximately 16.2 million shares remain available for purchase under the current authorization. 206-318-7100 206-318-7100 You can sign up for additional subscriptions at any time. Since 1971, Starbucks Coffee Company has been committed to ethically sourcing and roasting high-quality arabica coffee. 206-318-7100 “Building on solid business momentum from fiscal 2019, Starbucks performed very well throughout the first quarter, including one of the strongest holiday seasons in the history of our company. The conference call will be webcast, including closed captioning, and can be accessed on the Company’s website: Since 1971, Starbucks Coffee Company has been committed to ethically sourcing and roasting high-quality arabica coffee. Nestlé transaction and integration-related costs. Management excludes restructuring charges and business process optimization costs related to U.S., International and other business units. The company is unable to reconcile these forward-looking non-GAAP financial measures to the most directly comparable GAAP measures without unreasonable efforts because the company is currently unable to predict with a reasonable degree of certainty the type and extent of certain items that would be expected to impact GAAP measures for these periods but would not impact the non-GAAP measures. Other companies may calculate these non-GAAP financial measures differently than the company does, limiting the usefulness of those measures for comparative purposes. Represents incremental stock-based compensation award for U.S. partners (employees). You must click the link in the email to activate your subscription. Such items may include acquisitions, divestitures, restructuring and other items. Starbucks will hold a conference call today at 2:00 p.m. Pacific Time, which will be hosted by Kevin Johnson, president and ceo, and Patrick Grismer, cfo. 4. SEATTLE--(BUSINESS WIRE)-- shares outstanding - diluted, Store operating expenses as a % of company-operated store revenues, Effective tax rate including noncontrolling interests, As a % of The change will introduce new paper straws made of responsibly-sourced paper certified by the Forest Stewardship Council® and will eliminate an estimated 200 million single-use plastic straws annually from Starbucks stores in Japan. View source version on Please refer to the reconciliation of GAAP measures to non-GAAP measures at the end of this release for more information. © 2017 Starbucks Corporation. In November, Starbucks opened its first-ever Starbucks® Pickup store in New York City's Penn Plaza. All rights reserved. While announcing its most recent split, in 2015, then-CEO Howard Shultz pointed out that the stock had hit a new record and the business was firing on all cylinders. Durga Doraisamy Management excludes transaction and integration costs and amortization of the acquired intangible assets for reasons discussed above. Net revenues for the International segment grew 4% over Q1 FY19 to $1.6 billion in Q1 FY20, primarily driven by 1,380 net new store openings, or 11% store growth, over the past 12 months and 1% growth in comparable store sales, partially offset by a 5% revenue-dilutive impact of converting certain retail businesses to fully licensed markets.