The group reported revenue of $9.5bn, exceeding estimates and up 9% year-on-year, while adjusted EPS came in at $0.50, also ahead of consensus. Global comparable store sales rose 6.2%, driven primarily by a 3.8% increase in transactions and a 2.3% rise in average ticket size.

The most significant signal came from the United States, where Starbucks must demonstrate that its "Back to Starbucks" plan can bring customers back without relying solely on price hikes. US comparable sales increased by 7.1%, with a 4.3% growth in transactions. In North America, comparable growth also reached 7.1%.

Brian Niccol, who took the helm in September 2024 to revitalize the brand, presented this quarter as a turning point in the turnaround. Management raised its annual targets, with global and US comparable growth now expected to be at least 5%, up from the previous 3%. Adjusted EPS is now projected between $2.25 and $2.45.

However, the report remains more nuanced regarding margins. The group's adjusted operating margin improved to 9.4%, but the North American margin retreated to 9.9%, weighed on by wage investments, tariffs, coffee prices and it's product mix. China also warrants caution, with comparable sales up only 0.5%.

The next test will focus on Starbucks' ability to convert the return of traffic into sustainable margin leverage, as the Chinese joint venture with Boyu will alter the financial reporting starting in Q3.