) announced earnings after the bell today, posting an EPS of
$0.55, and revenue of $3.74 billion. Both the top and
bottom line exceeded the Zacks Consensus estimates, of $0.53, and
$3.72 billion respectfully.
This company has seen a steady increase in value over the past
several months. An improving economy, increased
international exposure, lower commodity prices, loyal customers,
and new product offerings are the main drivers behind Starbuck's
consistent rise since April.
Just recently, SBUX announced a strategic partnership with
), to create an exclusive Greek yogurt line to be sold in
Starbuck's stores. "Evolution Fresh, Inspired by Danone"
will be available as soon as next year, and will be in your local
grocery stores by 2015. Last year, groceries accounted for
about 10% of Starbucks' revenue, and in 2013 it has increased to
19%. Therefore, groceries have been expanding at a faster
rate than their café sales.
) controls about 24% of the total market share of Greek yogurt
sales (according to Euromonitor), and will be the major
competition of new partnership. The street believes that
Starbuck's distribution network, and hundreds of stores
nationwide, will enable SBUX to take a sizable portion of GIS's
total market share.
Due to their recent earnings trends, and the new strategic
partnership with Danone, SBUX increased their guidance for Q3
from $0.57 to between $0.59 and $0.60. Moreover, management
has also increased guidance for FY 2013, raising it from $2.19 to
between $2.22 and $2.23.
In afterhours trading SBUX was up over 5% on light volume.
Zacks will post a detailed earnings report tomorrow
DANONE-ADR (DANOY): Get Free Report
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