Starbucks says turnaround ‘ahead of schedule’ as U.S. sales rebound

Starbucks reported robust gains in sales for the quarter ending Dec. 28 and said on Jan. 28, 2026 that its turnaround plan was progressing faster than expected, with Chief Executive Brian Niccol saying in the earnings release that the effort was 'working and we believe we’re ahead of schedule.' The company’s stock jumped after the better-than-expected report.

U.S. same-store sales at Starbucks locations open at least a year rose 4 percent in the quarter versus the prior year, beating analysts’ forecasts. The company said it recorded gains in foot traffic and in the average amount customers spent per visit; some of the traffic gains may have come from a limited holiday-themed, bear-shaped cup that became a viral sensation and sold out nearly immediately, prompting backlash from customers who could not get one.

The company noted that late in the previous quarter it closed more than 600 underperforming stores, a move some Wall Street analysts said likely reduced a drag on overall sales and probably resulted in a transfer of sales to other locations. Starbucks also said it opened 128 more stores in the most recent quarter.

Revenues rose 5 percent to $9.9 billion for the quarter, while profit fell more than 60 percent to $293 million. The Times report said expenses rose sharply as the company hired more workers in stores to get orders to customers faster as part of the turnaround effort.

starbucks turnaround plan, brian niccol statement, u.s. same-store sales, same-store sales 4 percent, foot traffic gains, average spend per visit, bear-shaped holiday cup, viral holiday cup, closed more than 600 stores, opened 128 stores, revenues $9.9 billion, profit $293 million, hiring more store workers, global same-store sales, international sales 5 percent, china sales nearly 7 percent, boyu capital deal, boyu capital joint venture, nearly 8,000 china stores, sell up to 60 percent, shares jumped 9 percent, quarter ending dec. 28, transfer of sales