Starbucks profits up and expansion plans set to continue - Brief Article

Eurofood, August 2, 2001

US coffee chain giant Starbucks has recorded a 34% profit increase for its third fiscal quarter, as the Seattle-based firm underlined its global expansion plans.

Net earnings for Q3 reached US$46.8m (53.6m [European Dollar]), compared to US$34.9m a year ago. Revenues were also up, by 19% to US$663m from US$558m.

Having been present in the UK for some time, Starbucks has recently entered the Continental European market, with new stores in both Switzerland and Austria.

The coffee giant has already boosted the number of outlets from 3 215 last year to 4 435 this year over the last twelve months. However, there will be no let up in the Starbucks expansion plan, with the US concern claiming to be on track to open a further 1 200 new outlets during the current fiscal year.

Chairman of Starbucks, Howard Schultz recently said, "There is tremendous room to grow, we have received overwhelming positive responses from every market we have entered."