Starbucks Celebrates Year of Transformation as ceo Kevin Johnson Sets Vision for Building an Enduring Company at 2019 Annual Meeting of ShareholdersSource: Business Wire
In the largest shareholder meeting in company history,
celebrates transformative year in fiscal 2018, highlighted by double digit growth in topline revenue of Starbucks $24.7 billion, up 10% over the prior year; reaffirms ongoing growth algorithm of consolidated revenue growth of 7% to 9% and non-GAAP earnings per share growth of at least 10%.
- Company unveils plans to modernize the Starbucks Experience with a focus on three key attributes: convenience, comfort and connection.
$100 millioncornerstone investment in Valor Siren Venturesto accelerate innovation in “new retail.”
With a focus on disciplined growth in U.S. and
China, Starbuckscelebrates the 30,000th store opening.
Reaffirming its commitment to remain a company that believes in the
pursuit of doing good,
Starbucksannounced it maintained equity in pay for race and gender in the U.S. for the second consecutive year and verified gender equity in pay in Chinaand Canada.
- Company demonstrates latest innovations in sustainable coffee: further reduction of straws; greener cups; and digitally traceable coffee that shows the journey from bean to cup.
Committed to honoring
In addition, the company will showcase opportunities where it is uniquely positioned to serve as the catalyst for future “new retail” innovations and announced commitments aimed to create meaningful societal impact.
“Starbucks is a different kind of company – and we have been since our founding,” Johnson said. “Our long-term plan for growth with focus and discipline is built on the acknowledgement that the pursuit of profit is not in conflict with the pursuit of doing good. We are a part of millions of people’s everyday lives around the world, and I believe we are uniquely positioned to be one of the most enduring brands of all time.”
Brand endurance requires evolving with customer’s changing needs. To
that end, Brewer will reveal the company’s plans to reimagine the third
place, with a focus on three key attributes: convenience, comfort and
connection. Through this lens, Brewer will announce
“I don’t want anyone to walk away today thinking this is about furniture or a new renovation strategy,” said Brewer. “Reimagining the third place is about listening to our customers, so we can better position our business now and for the future.”
Through this approach, the company aims to learn directly from its customers and adapt changes to new and better experiences using technology, product innovation, in addition to new and reimagined store formats. The company also will reiterate its commitment to the continued expansion and evolution of programs like Starbucks Delivers® – now available in 12 countries – and Starbucks Rewards.
“Our relationship with our customers starts the moment they think of
Furthering its efforts to focus on new ideas and technologies that are
relevant to customers, inspiring to partners (employees), and meaningful
This investment will serve as a catalyst for the next generation of food
and retail start-up companies. Managed by
“We believe that innovative ideas are fuel for the future, and we
continue to build on this heritage inside our company across beverage,
experiential retail, and our digital flywheel,” said Johnson. “At the
same time, and with an eye toward accelerating our innovation agenda, we
are inspired by, and want to support the creative, entrepreneurial
businesses of tomorrow with whom we may explore commercial relationships
down the road. This new partnership with Valor presents exciting
opportunities, not only for these startups, but also for
Delivering on Returns for Shareholders
On the heels of a fiscal year of unprecedented growth and revenues of
As part of this commitment, the company entered into a
CREATING SOCIAL IMPACT GLOBALLY
For more than 48 years, the Starbucks brand has been fueled by both an elevated customer experience and passionate, continual efforts to create meaningful impact in the communities it serves.
That commitment isn’t more evident than in the company’s continued drive
towards a more sustainable
Greener Cups, Fewer Straws and Tracing Your Coffee’s Journey via Starbucks® Mobile App
Burns will outline significant, collaborative progress and new plans on greener
cups, fewer straws and digitally tracing its coffee as
In addition, speakers will share progress related to supporting the communities that host and sustain Starbucks® stores, and providing pathways and opportunities to people.
At last year’s Annual Meeting of Shareholders,
Today, Johnson will confirm
Last year the company announced its Pay
Equity Principles – Equal Footing, Transparency and Accountability –
after drawing on its own experience to address systemic barriers to
gender equity in pay.
This global commitment has set a new bar for multinational companies.
The effort is supported by equal rights champion the Billie Jean King
Leadership Initiative (BJKLI) and leading national women’s
Creating More Opportunities
Other updates related to
Veterans and Military Spouses: With 22,000 hires to date,
Starbucksis on track to well exceed its goal of 25,000 hires by 2025.
Starbucksis on track to meet its goal of hiring 100,000 Opportunity Youth – defined by the U.S. Department of Laboras 16-24-year-olds not in school or in the labor force – by 2020, with 75,000 hired so far.
Partners in Pursuit of a Higher Education: The
StarbucksCollege Achievement Plan – a model for access to higher education for employees in partnership with Arizona State University– has more than 12,000 scholars as of this year and more than 2,300 graduates since its launch in 2014. Through the Starbucks College Achievement Plan, partners earn a bachelor’s degree with tuition costs covered, without a further commitment to Starbucks. The program’s goal is 25,000 graduates by 2025.
Supporting Communities Across the Globe
Increased Commitment to Ending Hunger:
Starbucksis increasing its commitment to ending hunger, particularly among children and families, by investing $300,000in Feeding America food bank mobile pantry programs across the U.S. The company also marks a milestone of 15 million meal donations made since 2016 through its U.S. FoodShare program. Worldwide, the company now has hunger-related donation programs in Canada, the UK, Switzerland, Austriaand the Netherlandswith more planned expansion.
Expansion of Efforts to Support Unsheltered Families in the
SeattleArea: Starbuckswill be expanding its partnership with United Way of King Countyin the coming year to support families experiencing homelessness, and reported that the late 2018 crowd-funding effort for the No Child Sleeps Outside campaign with Mary’s Place and other partners raised $2.4 millionin 45 days to help bring unsheltered families inside and move them into permanent stable housing.
Starbucks Annual Meeting of Shareholders will begin at
Forward Looking Statements
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Non-GAAP Financial Measures
Non‐GAAP measures included in our press release were not reconciled to the comparable GAAP financial measures because the GAAP measures are not accessible on a forward‐looking basis. The Company is unable to reconcile these forward-looking non-GAAP financial measures to the most directly comparable GAAP measures without unreasonable efforts because the Company is currently unable to predict with a reasonable degree of certainty the type and extent of certain items that would be expected to impact GAAP measures for these periods but would not impact the non-GAAP measures. Such items may include acquisition, divestitures, restructurings and other items. The unavailable information could have a significant impact on the Company’s GAAP financial results.
Starbucks Coffee Company