China Joint Venture Completion
The China retail joint venture with Boyu Capital closed, deconsolidating operations and generating a $536.3 million net gain. The International segment transitioned to a predominantly licensed model, drastically reducing company-operated store revenue.
Comparable Store Sales Growth
Global comparable store sales rose 7.9%, with the US up 8.1%, driven by a 4.2% increase in transactions and 3.5% higher average ticket, aided by delivery, food attach, and beverage modifications.
Operating Margin Expansion
Consolidated operating margin expanded 60 basis points to 10.5%, benefiting from sales leverage and lower inflation with tariff refunds, partially offset by Back to Starbucks labor investments and restructuring costs.