Investing.com - Starbucks reported an all-around solid fiscal first quarter Thursday, beating Wall Street estimates on profit, sales and global comparable sales.
Starbucks (NASDAQ:SBUX) shares rose 1.7% in after-hours trading.
The coffee chain operator reported earnings per share of $0.75 on revenue of $6.63 billion. Analysts polled by Investing.com forecast EPS of $0.65 on revenue of $6.49 billion. That compared to EPS of $0.58 on revenue of $5.70 billion in the same period a year earlier.
Global comparable-store sales rose 4% in the quarter, topping anaslysts' forecasts. U.S and Americas comparables were also up 4%.
Looking ahead, Starbucks also raised its profit guidance for fiscal 2019. The company now predicts a profit of $2.68 to $2.73 per share, above Street forecasts and up from previous guidance of $2.61 to $2.66 per share.
But it also narrowed expections for global comparable sales to 3% to 4% from 3% to 5%. Starbucks said in December if was expecting full year comparable sales to be at the low end of the 3% to 5% range.
Quarterly sales were helped by promotions, which included holiday favorites such as Peppermint Mochas and Gingerbread lattes, while its Draft Nitro cold brew, which aims to creates a beer-like experience, has been pulling in customers during slow afternoons.
The company has also teamed up with food-delivery services in China to help boost sales as it faces rising competition from local upstarts.
"Overall, we believe it was a solid quarter and this is another quarter that reinforces our view that the turnaround is showing progress and gaining some steam," Edward Jones analyst Brian Yarbrough said.
-- Reuters contributed to this report.