Starbucks Corp. declared an increased cash dividend to its shareholders. The quarterly dividend of $0.13 per share, an increase of 30% from $0.10 per share, will be paid on August 20, 2010, to shareholders of record at the close of business on August 4, 2010.

Starbucks Corp. reported unaudited consolidated earnings results for the third quarter and nine months ended June 27, 2010. Comparable store sales increased 9% compared to a decrease of 5% reported a year ago, driven by a 6% increase in traffic and a 3% increase in average ticket. For the quarter, net revenues were $2.6 billion compared to $2.4 billion in third quarter of fiscal 2009. The higher revenues were primarily driven by a 9% increase in global comparable stores sales. Non-GAAP operating income totaled $348.1 million compared to $255.6 million reported a year ago. This improvement was primarily due to increased sales leverage and continued benefits from operational efficiencies. These improvements were partially offset by higher marketing expenses for Starbucks VIA(R) and the new customizable Frappuccino(R) blended beverages. GAAP operating income totaled $327.7 million compared to $204.0 million reported a year ago. EPS was increased to $0.27 compared to $0.20 in the third quarter of fiscal 2009. Non-GAAP EPS was $0.29 compared to $0.24 in the third quarter of fiscal 2009. The company reported earnings before income taxes of $318.4 million and net earnings attributable to the company of $207.9 million compared to earnings before income taxes of $214.0 million and net earnings attributable to the company of $151.5 million reported a year ago. Non-GAAP net earnings attributable to the company was $221.7 million compared to $179.9 million reported a year ago. For the nine months, the company reported operating income of $1,020.1 million on revenues of $7,869.4 million compared to operating income of $362.6 million on revenues of $7,352.4 million reported a year ago. Diluted EPS was $0.87 compared to $0.32 reported a year ago. Non-GAAP diluted EPS was $0.91 compared to $0.56 reported a year ago. Non-GAAP operating income was $1,066.7 million compared to $641.8 million reported a year ago. Comparable store sales increased 7% compared to a decrease of 7% reported a year ago. The company reported earnings before income taxes of $1,024.4 million and net earnings attributable to the company of $666.7 million compared to earnings before income taxes of $347.7 million and net earnings attributable to the company of $240.8 million reported a year ago. Non-GAAP net earnings attributable to the company was $699.2 million compared to $414.1 million reported a year ago. Due to strong year-to-date performance, the company is now targeting full-year of fiscal 2010 consolidated non-GAAP operating margin is expected to be at the high end of the previously-stated range of 12% to 13%. The company now expects non-GAAP EPS of $1.22 to $1.23, excluding approximately $0.04 of expected restructuring charges and including approximately $0.05 from the extra week in the fiscal fourth quarter, as fiscal 2010 is a fifty three week year for the company. Capital expenditures are now expected to be approximately $450 million for the full year. Earnings per share are expected to be in the range of $1.18 to $1.19. The company is targeting mid- to high-single-digit revenue growth for fiscal 2011, driven by low- to mid-single-digit comparable store sales growth. The company is targeting full-year consolidated non-GAAP operating margin improvement is expected to be approximately 50 to 100 basis points compared to fiscal 2010 non-GAAP operating margin. The company expects EPS of $1.36 to $1.41, reflecting 15% to 20% growth over fiscal 2010 non-GAAP EPS on a fifty two week basis. Capital expenditures are expected to be approximately $500 million to $550 million for the full year. Commodity costs are expected to have an unfavorable impact on EPS of approximately $0.04, attributable primarily to higher coffee costs. The company is now targeting approximately 250 net new stores globally for fiscal 2010. Both the U.S. and International net new additions are expected to be primarily licensed stores. The company plans to open approximately 500 net new stores globally for fiscal 2011, approximately 100 in the U.S. and approximately 400 internationally, the majority of which are expected to be licensed stores.

Starbucks Corp. Presents at ProcureCon 2010, Nov-03-2010 11:00 AM. Venue: Hotel Le Plaza, Brussels, Belgium. Speakers: Nils Clement, Procurement Director.