Starbucks Rings Up Record Sales, Though Cafe Investments Erode Profit

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Starbucks Rings Up Record Sales, Though Cafe Investments Erode Profit
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Starbucks said its sales hit a record in its most recent quarter, while a planned multimillion-dollar investment in new cafe equipment and higher wages for employees cut into store-level profit

Starbucks Corp. said its sales hit a record in its most recent quarter, whilein new cafe equipment and higher wages for employees cut into store-level profit.

The coffee giant reported $8.41 billion in revenue for the three months ended Oct. 2, up about 3% from the comparable year-ago period and above expectations of analysts polled by FactSet. The company said Thursday its same-store sales globally increased 7% year-over-year, and Interim Chief Executive Howard Schultz said global demand for Starbucks’s coffee was strong.

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