MAAT INDEX

CLAIM #53350 · Starbucks Corporation (SBUX) · 2026Q2 earnings call · Apr 28, 2026 · due Sep 30, 2026

So the back half, we should see better on both of those.

Cathy Smith · CFO

PENDING
graded after results covering Sep 30, 2026 are reported

How to check this claim

Look at: Cost of goods sold impact from coffee price elevation and tariffs, second half fiscal year vs first half

It came true if: H2 FY2026 coffee cost per pound and tariff-related COGS pressure lower than H1 FY2026 levels (i.e., sequential improvement/moderation)

Where: Company 10-Q/10-K commentary on cost of sales and management commentary on earnings calls (Q3/Q4 FY2026)

In context

y, we still have half a year in front of us. So that would suggest a little bit of why you're seeing maybe not as bullish in EPS flow-through given the top line that we're expecting. With regards to the COGS element of that, though, we are seeing first half of this year continued coffee elevation, price elevation year-over-year. It's almost not quite, but I think it's almost $1 a pound year-over-year change. And then the implications of tariffs as they run through our inventory, obviously, both of those we expect to abate toward the back end of the year. So both the coffee prices, we expect to continue to come down and they have a little bit as we -- our coffee always lags coming through our financials. And then the tariff implications we expect to roll through the inventory very quickly. So the back half, we should see better on both of those. So all in, though, really pleased with both the performance on labor and the performance in the menu, and we'll continue to tighten that up, and it will show up in our -- obviously, our earnings flow through in time. Operator: Your next question comes from David Tarantino with Baird. David Tarantino: And congratulations on the progress here. Brian, my question is about the operations improvement that you've seen. It's been pretty dramatic over the past, I don't know, 3 or 4 quarters. And I was wondering if you could maybe opine on how much runway you think the operations improvements alone still have in terms of being able to drive comps? I know it's may be difficult to separate that from some of the other things you're doing. But just perhaps you can maybe opine on that and give us an up

Verify independently

SEC filings for SBUX · Claim quote is verbatim from the 2026Q2 earnings call.