In its fiscal year Q3 2025 earnings report this week, Starbucks announced that its “Back to Starbucks” strategy has now netted three consecutive quarters of improved transactions in the U.S. even as store sales remain in decline.
Consolidated net revenue in Q3 was up 4% to $9.5 billion, but global comparable store sales were down 2%, as were North American comparable store sales, which was “driven by a 3% decline in comparable transactions, partially offset by a 1% increase in average ticket.”
The coffee giant opened 308 net new stores in the quarter, bringing its total franchise locations to 41,097.
“We’ve fixed a lot and done the hard work on the hard things to build a strong operating foundation, and based on my experience of turnarounds, we are ahead of schedule,” said chairman and CEO Brian Niccol in a statement. “In 2026, we’ll unleash a wave of innovation that fuels growth, elevates customer service, and ensures everyone experiences the very best of Starbucks. We’re building back a better Starbucks experience and a better business.”
During a call with investors and analysts yesterday, Niccol said the Back to Starbucks strategy has focused on “fixing the operational foundations of the business,” including “bringing back condiment bars, eliminating the upcharge for nondairy milks, implementing a new Coffeehouse Code of Conduct and rolling out coffeehouse walk certifications.”
“While our financial results for the quarter don’t yet reflect all the progress we’ve made, I see meaningful signs from across our U.S. business that we’re on the right path,” he said, noting that customers “are liking our marketing and noticing that our speed, hospitality and accuracy are improving.”
Updates on the company’s ready-to-drink and wholesale business were minimal during the call. CFO Catherine Smith noted that Q3 revenue for Starbucks’ Channel Development segment was up 10% year-over-year from high revenue in its strategic partnership with Nestlé, the Global Coffee Alliance.
“We remain market share leaders in the North America at-home and ready-to-drink coffee categories and continue to work with our partners to innovate and broaden our reach beyond our cafes,” Smith said.