The American multinational chain Starbucks Coffee store and logo seen displayed.
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Starbucks is expected to report its quarterly earnings after the bell on Wednesday.
Here’s what Wall Street analysts surveyed by LSEG are expecting the company to report for its fiscal fourth quarter:
Earnings per share: 56 centsRevenue: $9.35 billion
More than a year into CEO Brian Niccol’s tenure, the coffee giant is expected to post its seventh straight quarter of same-store sales declines. Wall Street is projecting that the company will report that same-store sales fell 0.3%, mostly due to weaker demand in North America.
Facing tougher competition and price-conscious consumers in the United States and China, its two largest markets, Starbucks has struggled to bring customers back to its cafes. Niccol’s turnaround strategy focuses on returning the company to its roots by focusing on the in-store experience and improving order times. Starbucks has also been exploring selling a stake in its China business.
The company has cut costs as part of the effort. A month ago, Starbucks announced hundreds of store closures and another round of layoffs for nonretail employees as part of a $1 billion restructuring plan.
Shares of Starbucks have fallen 7% this year as investors grow impatient with the turnaround’s slower-than-expected pace. The S&P 500 has climbed 17% in the same period.
Starbucks’ market cap has shrunk to roughly $97 billion.
