Starbucks reported disappointing quarterly earnings and lowered its fiscal 2024 outlook, leading to a 12% drop in after-hours trading. The coffee giant's same-store sales decreased across all regions, with a notable 4% fall globally and a 3% decline in the U.S. market. Traffic to Starbucks cafes also declined, contributing to the poor performance. CEO Laxman Narasimhan cited a challenging environment and acknowledged that the results did not meet expectations. The company now anticipates low single-digit revenue growth for fiscal 2024, a significant cut from the previously forecasted 7% to 10%. Additionally, same-store sales are expected to be flat to low single digits globally, with a decline anticipated in China.
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