Starbucks Reports Higher Profit, Maintains Outlook for Year
Starbucks reported higher quarterly earnings on Wednesday, helped by a larger number of stores, and maintained its full-year profit outlook.
Net income for the fiscal third quarter was $158 million, or 21 cents a share, compared with $145 million, or 18 cents a share, a year ago.
Wall Street analysts, on average, had been expecting earnings of 21 cents a share, according to Reuters Estimates.
The company said revenue rose 20% to $2.4 billion, also in-line with with analysts' forecast.
"Starbucks delivered solid financial performance while expanding globally," said CEO Jim Donald, in a prepared statement. "Record store openings helped drive revenue growth of 20 percent."
Looking ahead, Starbucks maintained previous forecasts for fiscal 2007 but offered new targets for 2008, saying it expects 2008 earnings-per-share growth in a range of 20% to 22%, with revenue growth of 18%.
Starbucks shares rose 4% in after-hours trading.