unlike mcdonald’s corporation mcd who topped wall street estimates across the board last week starbucks corporation sbux delivered a mixed quarterly earnings reported on tuesday after market close with the highlight of the report being the coffee giant’s skyrocketing sales growth in china for the quarter ended on july 2nd starbucks made 917 billion in revenue that rose 12 but still came below refinitiv’s consensus estimate of 929 billion starbucks earned a net income of 141 billion or 99 cents per share rising from last year’s comparable quarter when it made 9129 million or 79 cents per share adjusted earnings per share came to 1 topping 95 cents that refinitiv’s survey of analysts expected with improved productivity and higher menu prices operating margin expanded from 159 to 173 samestore sales both in north america and international markets was weaker than expected the rise of 10 was below the 11 growth that streetaccount estimated the us and china made 61 of the coffee giant’s portfolio nonus samestore sales expanded 24 below the estimated 242 like mcdonald’s starbucks’ international growth was fueled by china whose samestore sales skyrocketed 46 international transactions rose 21 slightly less the expected 23 but the average ticket was only up 2 far below the expected 8 suggesting that consumers are spending less unlike mcdonald’s whose samestore us sales rose 103 with visits rising for the fourth straight quarter there seems to be trouble for starbucks at its home market unlike mcdonald’s who reported doubledigit growth for samestore sales across all three of its divisions starbuck’s north america samestore sales grew only 7 below the estimated 84 customer traffic grew 1 at the coffee giant’s domestic market as customers were getting more sandwiches and extras like cold foam to their coffees with the undergoing consumer trend shifting away from hot coffees to cold beverages that made three quarters of beverage orders in the us with higher prices and these additions the average ticket size jumped 6 in the region however transactions only rose 1 below the expected 3 the loyalty app continues to grow again gaining momentum during the reported quarter with total active members rising 15 yoy to 314 million revenue is projected to grow between 10 and 12 while adjusted eps guidance was slightly changed from its prior range of 15 to 20 to a new window between 16 and 17 despite mixed results and weaker than expected sales ceo laxman narasimhan remains confident of starbucks’ strong growth narrative with multiple paths going forward on its quest to further improve its margins disclaimer this content is for informational purposes only it is not intended as investing advice