Shares of Starbucks Corporation (NASDAQ: SBUX) fell sharply after hours after reporting third-quarter earnings that missed analyst expectations.
Shares are down 9.36% to $47.50 in the first 20 minutes of after-hours trading. The stock rose 3.96% to $52.40 in regular trading hours.
Starbucks’s operating income was $491.6 million, or 43 cents a share, up from $402.2 million, or 36 cents a share, in the year-earlier period. Analysts were expecting earnings of 45 cents a share, according to data compiled by Thomson Reuters.
The company reported revenue of $3.30 billion in the third quarter, up from $2.93 billion in the year-earlier period. Analysts were anticipating revenue of $3.33 billion.
Revenue in the Americas, the company’s largest unit by far, reported revenue of $2.47 billion, up from $2.28 billion compared to last year. The company’s top line was boosted by the opening of 231 net new stores worldwide.
Starbucks has set a target of earning 44 cents to 45 cents a share for the fourth quarter.