Overview

• Starbucks exceeded Wall Street expectations for Q4 2024, reporting $780 million in net income, though this was a 23% decline from the previous year.
• Same-store sales dropped by 4%, a smaller decline than the 5.5% analysts had projected, boosting investor confidence and causing a 4% rise in after-hours trading.
• CEO Brian Niccol, who joined in September, launched the 'Back to Starbucks' initiative, focusing on creating a more welcoming store atmosphere with measures like reintroducing mugs and handwritten names on cups.
• The new strategy includes a no-loitering policy and restricted bathroom access for non-paying customers, aiming to reduce crowding and improve customer experiences.
• Niccol also announced an executive shake-up, bringing in former colleagues from Yum! Brands to key roles, while eliminating two existing executive positions to streamline operations.