Starbucks Falls 5% on Q2 Results

Starbucks SBUX released its fiscal second quarter earnings results after the closing bell on Thursday. The company reported net income of $309.9 million or $0.40 per share, an 18 percent increase over the $261.6 million or $0.34 per share, that the company reported in the year ago period. This compared to Wall Street analysts' consensus EPS estimates of $0.39. Revenues in the quarter were reported at $3.2 billion versus $2.79 billion in last year's second quarter. This came in above analysts' consensus revenue estimates of $3.18 billion. Operating margin at the company held steady at 13.5% versus the prior year period while same-store sales were up 7 percent. Looking ahead, SBUX now sees EPS in range of $1.81 to $1.84 for the full year. This compares to previous guidance of $1.78 to $1.82 per share. Wall Street analysts currently are projecting that SBUX will report full-year EPS of $1.86. In Thursday's after hours trading session, SBUX shares have lost roughly 5% to $57.53 in the wake of the results. The stock closed the regular trading session up 1.95% to $60.66.