Starbucks Brews Up Mixed Results But Sees Promising Turnaround

Mamma Mia Starbucks' Turnaround is a Brewin'

It's a me Mario reporting live from the Mushroom Kingdom where the coffee is well usually mushroom flavored. But today we're talkin' about Starbucks. They had a mixed quarter see? Like when I get a mystery mushroom – could be super could be poison. But CEO Brian Niccol says their 'Back to Starbucks' plan is workin'. And that's a good.

Coin Block Revenue Piranha Plant Profits

The big S racked up $9.92 billion in revenue – that's like finding a hidden coin block with unlimited coins. But a their earnings per share? Not so super only 56 cents while the experts predicted 59. Higher coffee prices and tariffs are like those pesky Piranha Plants chomping at their bottom line. But fear not there's always a way to jump over them and maybe Danaher is in a similar situation and Danaher's Stock Wobbles Despite Earnings Beat but I digress.

Same Store Sales Go Zoom

Here's a the good news. Global same store sales jumped 4% faster than a Starman Mario. Traffic is up 3% meaning more people are visiting Starbucks. That's a like finding a secret warp zone to a whole new level of customers. Even in January sales keep going up up up. Wahoo.

Holiday Cheer and Bearista Cups

The U.S. is also seein' more customers thanks to holiday drinks like the Peppermint Mocha and those viral "Bearista" cups. Niccol says the holiday menu launch was the best ever in North America. It's a like when I finally rescue Princess Peach from Bowser – pure joy. They are also focusing on hospitality and efficiency through their "Green Apron Service" which is like giving everyone a power up.

China: Starbucks' New World?

Outside the U.S. things are lookin' up too. China their second biggest market saw same store sales grow 7%. They are teamin' up with Boyu Capital to grow even more in China. Niccol hopes this will let them "expand into more cities deliver exceptional coffee experiences". It's like building a new castle in a new land.

Long Term Plans and Bowser Sized Ambitions

For 2026 Starbucks is expectin' adjusted earnings per share to be between $2.15 and $2.40. They also plan to open 600 to 650 new locations. So while there were a few Goombas in the way this quarter Starbucks seems to be on a path to jump over the obstacles. I'm a off to get a latte – maybe they'll make one with mushroom flavor for me? It's a worth a try. See ya later