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Starbucks warns of stagnating operating margin

SAN FRANCISCO (MarketWatch) — Starbucks is making moves to shore up its business but don’t expect the company’s operating margin to improve. The coffee-shop chain warned Wednesday its total operating margin by 2011 will remain below 2007’s level of 11.2%, “driven by erosion in the U.S. business.” That said, Starbucks is forecasting its earnings to pick up over the next three years. It pegged fiscal 2009 earnings to be as much as $1 a share, growing as high as a $1.50 a share in fiscal 2011. On Wednesday, Starbucks reported its net income tumbled 28% from the year-earlier quarter.

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Original post by Forextvblog

This entry was posted on Wednesday, April 30th, 2008 at 5:17 pm and is filed under Daily Forex Analysis. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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