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1、Table of ContentsUNITED STATESSECURITIES AND EXCHANGE COMMISSIONWashington,DC 20549FORM 10-Q QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)OF THE SECURITIES EXCHANGE ACT OF 1934For the Quarterly Period Ended December 31,2023OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)OF THE SECURITIES EXCH

2、ANGE ACT OF 1934For the transition period from to .Commission File Number:000-20322Starbucks Corporation(Exact Name of Registrant as Specified in its Charter)Washington91-1325671(State or Other Jurisdiction ofIncorporation or Organization)(IRS EmployerIdentification No.)2401 Utah Avenue South,Seattl

3、e,Washington 98134(Address of principal executive offices,zip code)(206)447-1575(Registrants Telephone Number,including Area Code)Securities registered pursuant to Section 12(b)of the Act:TitleTrading SymbolName of each exchange on which registeredCommon Stock,par value$0.001 per shareSBUXNasdaq Glo

4、bal Select MarketIndicate by check mark whether the registrant:(1)has filed all reports required to be filed by Section 13 or 15(d)of the Securities Exchange Act of 1934 duringthe preceding 12 months(or for such shorter period that the registrant was required to file such reports),and(2)has been sub

5、ject to such filing requirements forthe past 90 days.Yes x No Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 ofRegulation S-T(232.405 of this chapter)during the preceding 12 months(or for such short

6、er period that the registrant was required to submit suchfiles).Yes x No Indicate by check mark whether the registrant is a large accelerated filer,an accelerated filer,a non-accelerated filer,smaller reporting company,or anemerging growth company.See the definitions of“large accelerated filer,”“acc

7、elerated filer,”“smaller reporting company”and“emerging growth company”in Rule 12b-2 of the Exchange Act.Large accelerated filerxAccelerated filerNon-accelerated filerSmaller reporting companyEmerging growth companyIf an emerging growth company,indicate by check mark if the registrant has elected no

8、t to use the extended transition period for complying with any new orrevised financial accounting standards provided pursuant to Section 13(a)of the Exchange Act.Indicate by check mark whether the registrant is a shell company(as defined in Rule 12b-2 of the Exchange Act):Yes No x Indicate the numbe

9、r of shares outstanding of each of the issuers classes of common stock,as of the latest practicable date.Shares Outstanding as of January 24,20241,132.2 millionTable of ContentsSTARBUCKS CORPORATIONFORM 10-QFor the Quarterly Period Ended December 31,2023Table of Contents PART I.FINANCIAL INFORMATION

10、Item 1Financial Statements(Unaudited)3Consolidated Statements of Earnings3Consolidated Statements of Comprehensive Income4Consolidated Balance Sheets5Consolidated Statements of Cash Flows6Consolidated Statements of Equity7Index for Notes to Consolidated Financial Statements8Notes to Consolidated Fin

11、ancial Statements9Item 2Managements Discussion and Analysis of Financial Condition and Results of Operations24Item 3Quantitative and Qualitative Disclosures About Market Risk34Item 4Controls and Procedures35PART II.OTHER INFORMATIONItem 1Legal Proceedings36Item 1ARisk Factors36Item 2Unregistered Sal

12、es of Equity Securities and Use of Proceeds36Item 3Defaults Upon Senior Securities36Item 4Mine Safety Disclosures36Item 5Other Information36Item 6Exhibits38Signatures39 Table of ContentsPART I FINANCIAL INFORMATIONItem 1.Financial StatementsSTARBUCKS CORPORATIONCONSOLIDATED STATEMENTS OF EARNINGS(in

13、 millions,except per share data)(unaudited)Quarter EndedDec 31,2023Jan 1,2023Net revenues:Company-operated stores$7,755.2$7,083.5 Licensed stores1,192.1 1,119.5 Other478.0 510.9 Total net revenues9,425.3 8,713.9 Product and distribution costs2,980.6 2,810.2 Store operating expenses3,851.5 3,665.3 Ot

14、her operating expenses150.4 129.3 Depreciation and amortization expenses365.3 327.1 General and administrative expenses648.0 580.9 Restructuring and impairments 5.8 Total operating expenses7,995.8 7,518.6 Income from equity investees55.9 57.8 Operating income1,485.4 1,253.1 Interest income and other

15、,net33.8 11.6 Interest expense(140.1)(129.7)Earnings before income taxes1,379.1 1,135.0 Income tax expense354.7 279.8 Net earnings including noncontrolling interests1,024.4 855.2 Net earnings attributable to noncontrolling interests0.0 0.0 Net earnings attributable to Starbucks$1,024.4$855.2 Earning

16、s per share-basic$0.90$0.74 Earnings per share-diluted$0.90$0.74 Weighted average shares outstanding:Basic1,136.6 1,148.5 Diluted1,140.6 1,152.9 See Notes to Consolidated Financial Statements.3Table of ContentsSTARBUCKS CORPORATIONCONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME(in millions,unaudited

17、)Quarter EndedDec 31,2023Jan 1,2023Net earnings including noncontrolling interests$1,024.4$855.2 Other comprehensive income/(loss),net of tax:Unrealized holding gains/(losses)on available-for-sale debt securities5.6 2.0 Tax(expense)/benefit(1.4)(0.5)Unrealized gains/(losses)on cash flow hedging inst

18、ruments35.4(180.7)Tax(expense)/benefit(1.8)29.5 Unrealized gains/(losses)on net investment hedging instruments(25.2)(64.6)Tax(expense)/benefit6.3 16.3 Translation adjustment and other183.1 208.9 Tax(expense)/benefit(4.7)Reclassification adjustment for net(gains)/losses realized in net earnings for a

19、vailable-for-sale debt securities,hedging instruments,and translation adjustment24.9(98.4)Tax expense/(benefit)(1.8)11.8 Other comprehensive income/(loss)220.4(75.7)Comprehensive income including noncontrolling interests1,244.8 779.5 Comprehensive income attributable to noncontrolling interests0.2 C

20、omprehensive income attributable to Starbucks$1,244.6$779.5 See Notes to Consolidated Financial Statements.4Table of ContentsSTARBUCKS CORPORATIONCONSOLIDATED BALANCE SHEETS(in millions,except per share data)(unaudited)Dec 31,2023Oct 1,2023ASSETSCurrent assets:Cash and cash equivalents$3,000.4$3,551

21、.5 Short-term investments383.0 401.5 Accounts receivable,net1,165.1 1,184.1 Inventories1,646.3 1,806.4 Prepaid expenses and other current assets374.7 359.9 Total current assets6,569.5 7,303.4 Long-term investments239.8 247.4 Equity investments401.0 439.9 Property,plant and equipment,net7,611.7 7,387

22、.1 Operating lease,right-of-use asset8,638.6 8,412.6 Deferred income taxes,net1,769.4 1,769.8 Other long-term assets531.1 546.5 Other intangible assets115.8 120.5 Goodwill3,302.8 3,218.3 TOTAL ASSETS$29,179.7$29,445.5 LIABILITIES AND SHAREHOLDERS EQUITY/(DEFICIT)Current liabilities:Accounts payable$

23、1,460.7$1,544.3 Accrued liabilities2,326.9 2,145.1 Accrued payroll and benefits648.5 828.3 Current portion of operating lease liability1,309.4 1,275.3 Stored value card liability and current portion of deferred revenue2,199.8 1,700.2 Short-term debt349.5 33.5 Current portion of long-term debt1,100.8

24、 1,818.6 Total current liabilities9,395.6 9,345.3 Long-term debt13,564.8 13,547.6 Operating lease liability8,139.0 7,924.8 Deferred revenue6,129.0 6,101.8 Other long-term liabilities560.2 513.8 Total liabilities37,788.6 37,433.3 Shareholders deficit:Common stock($0.001 par value)authorized,2,400.0 s

25、hares;issued and outstanding,1,132.2 and 1,142.6 shares,respectively1.1 1.1 Additional paid-in capital38.2 38.1 Retained deficit(8,097.5)(7,255.8)Accumulated other comprehensive income/(loss)(557.8)(778.2)Total shareholders deficit(8,616.0)(7,994.8)Noncontrolling interests7.1 7.0 Total deficit(8,608

26、.9)(7,987.8)TOTAL LIABILITIES AND SHAREHOLDERS EQUITY/(DEFICIT)$29,179.7$29,445.5 See Notes to Consolidated Financial Statements.5Table of ContentsSTARBUCKS CORPORATIONCONSOLIDATED STATEMENTS OF CASH FLOWS(in millions,unaudited)Quarter EndedDec 31,2023Jan 1,2023OPERATING ACTIVITIES:Net earnings incl

27、uding noncontrolling interests$1,024.4$855.2 Adjustments to reconcile net earnings to net cash provided by operating activities:Depreciation and amortization384.4 342.5 Deferred income taxes,net26.1 15.8 Income earned from equity method investees(59.0)(56.9)Distributions received from equity method

28、investees105.2 45.7 Stock-based compensation94.8 85.2 Non-cash lease costs278.0 263.7 Loss on retirement and impairment of assets28.3 21.1 Other17.8 6.7 Cash provided by/(used in)changes in operating assets and liabilities:Accounts receivable42.3 42.0 Inventories174.3 108.5 Income taxes payable189.6

29、 147.6 Accounts payable(95.8)(117.3)Deferred revenue508.5 461.0 Operating lease liability(290.5)(281.4)Other operating assets and liabilities(44.5)(346.2)Net cash provided by operating activities2,383.9 1,593.2 INVESTING ACTIVITIES:Purchases of investments(217.1)(10.5)Sales of investments 0.8 Maturi

30、ties and calls of investments253.5 253.3 Additions to property,plant and equipment(595.9)(516.8)Other(9.3)(6.1)Net cash used in investing activities(568.8)(279.3)FINANCING ACTIVITIES:Net(payments)/proceeds from issuance of commercial paper300.0(175.0)Net proceeds from issuance of short-term debt49.1

31、 Repayments of short-term debt(33.8)Repayments of long-term debt(750.0)Proceeds from issuance of common stock32.3 45.9 Cash dividends paid(648.1)(608.3)Repurchase of common stock(1,266.7)(191.4)Minimum tax withholdings on share-based awards(92.1)(79.0)Net cash used in financing activities(2,409.3)(1

32、,007.8)Effect of exchange rate changes on cash and cash equivalents43.1 62.0 Net increase/(decrease)in cash and cash equivalents(551.1)368.1 CASH AND CASH EQUIVALENTS:Beginning of period3,551.5 2,818.4 End of period$3,000.4$3,186.5 SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:Cash paid during th

33、e period for:Interest,net of capitalized interest$120.1$116.7 Income taxes$143.0$106.2 See Notes to Consolidated Financial Statements.6Table of ContentsSTARBUCKS CORPORATIONCONSOLIDATED STATEMENTS OF EQUITYFor the Quarter Ended December 31,2023 and January 1,2023(in millions,except per share data,un

34、audited)Common StockAdditionalPaid-inCapitalRetainedEarnings/(Deficit)AccumulatedOtherComprehensiveIncome/(Loss)ShareholdersEquity/(Deficit)NoncontrollingInterestsTotal SharesAmountBalance,October 1,20231,142.6$1.1$38.1$(7,255.8)$(778.2)$(7,994.8)$7.0$(7,987.8)Net earnings 1,024.4 1,024.4 1,024.4 Ot

35、her comprehensive income 220.2 220.2 0.2 220.4 Stock-based compensation expense 96.1 96.1 96.1 Exercise of stock options/vesting ofRSUs2.3(75.8)(75.8)(75.8)Sale of common stock0.1 16.2 16.2 16.2 Repurchase of common stock(12.8)(36.4)(1,224.0)(1,260.4)(1,260.4)Cash dividends declared,$0.57 pershare (

36、642.1)(642.1)(642.1)Other 0.2 0.2(0.1)0.1 Balance,December 31,20231,132.2$1.1$38.2$(8,097.5)$(557.8)$(8,616.0)$7.1$(8,608.9)Balance,October 2,20221,147.9$1.1$205.3$(8,449.8)$(463.2)$(8,706.6)$7.9$(8,698.7)Net earnings 855.2 855.2 855.2 Other comprehensive loss (75.7)(75.7)(75.7)Stock-based compensat

37、ion expense 86.4 86.4 86.4 Exercise of stock options/vesting ofRSUs2.4(44.7)(44.7)(44.7)Sale of common stock0.1 11.6 11.6 11.6 Repurchase of common stock(1.9)(191.4)(191.4)(191.4)Cash dividends declared,$0.53 pershare (608.6)(608.6)(608.6)Balance,January 1,20231,148.5$1.1$67.2$(8,203.2)$(538.9)$(8,6

38、73.8)$7.9$(8,665.9)See Notes to Consolidated Financial Statements.7Table of ContentsSTARBUCKS CORPORATIONINDEX FOR NOTES TO CONSOLIDATED FINANCIAL STATEMENTSNote 1Summary of Significant Accounting Policies and Estimates9Note 2Derivative Financial Instruments9Note 3Fair Value Measurements13Note 4Inve

39、ntories15Note 5Supplemental Balance Sheet and Statement of Earnings Information15Note 6Other Intangible Assets and Goodwill16Note 7Debt17Note 8Leases19Note 9Deferred Revenue20Note 10Equity21Note 11Employee Stock Plans21Note 12Earnings per Share22Note 13Commitments and Contingencies22Note 14Segment R

40、eporting238Table of ContentsSTARBUCKS CORPORATIONNOTES TO CONSOLIDATED FINANCIAL STATEMENTS(unaudited)Note 1:Summary of Significant Accounting Policies and EstimatesFinancial Statement PreparationThe unaudited consolidated financial statements as of December 31,2023,and for the quarters ended Decemb

41、er 31,2023 and January 1,2023,have beenprepared by Starbucks Corporation under the rules and regulations of the Securities and Exchange Commission(“SEC”).In the opinion of management,thefinancial information for the quarters ended December 31,2023 and January 1,2023 reflects all adjustments and accr

42、uals,which are of a normal recurringnature,necessary for a fair presentation of the financial position,results of operations,and cash flows for the interim periods.In this Quarterly Report on Form10-Q(“10-Q”),Starbucks Corporation is referred to as“Starbucks,”the“Company,”“we,”“us,”or“our.”Segment i

43、nformation is prepared on the same basis that our management reviews financial information for operational decision-making purposes.The financial information as of October 1,2023 is derived from our audited consolidated financial statements and notes for the fiscal year ended October 1,2023(“fiscal

44、2023”)included in Item 8 in the fiscal 2023 Annual Report on Form 10-K(“10-K”).The information included in this 10-Q should be read inconjunction with the footnotes and managements discussion and analysis of the consolidated financial statements in the 10-K.The results of operations for the quarter

45、ended December 31,2023 are not necessarily indicative of the results of operations that may be achieved for the entirefiscal year ending September 29,2024(“fiscal 2024”).Recent Accounting Pronouncements Not Yet AdoptedIn November 2023,the Financial Accounting Standards Board(“FASB”)issued guidance e

46、xpanding segment disclosure requirements.The amendmentsrequire enhanced disclosure for certain segment items and required disclosure on how management uses reported measures to assess segment performance.Theamendments do not change how segments are determined,aggregated,or how thresholds are applied

47、 to determine reportable segments.We expect to adopt theguidance for the fiscal year ending September 28,2025.We are currently evaluating the expanded disclosure requirements and do not expect the adoption ofthe amendments to have a material impact on our consolidated financial statements.In Decembe

48、r 2023,the FASB issued guidance expanding disclosure requirements related to income taxes.The amendments require enhanced jurisdictionaldisclosures for the income tax rate reconciliation and related to cash income taxes paid.Additionally,specific disclosures related to unrecognized tax benefitsand i

49、ndefinite reinvestment assertions were removed.The amendments are effective for our fiscal year ending September 27,2026.While we are stillevaluating the specific impacts and timing of adoption,we anticipate this guidance will have a significant impact on our annual income tax disclosures.Note 2:Der

50、ivative Financial InstrumentsInterest RatesFrom time to time,we enter into designated cash flow hedges to manage the variability in cash flows due to changes in benchmark interest rates.We enter intointerest rate swap agreements,including forward-starting interest rate swaps and treasury locks,settl

51、ed in cash based upon the difference between an agreed-upon benchmark rate and the prevailing benchmark rate at settlement.These agreements are generally settled around the time of the pricing of the related debt.Each derivative agreements gain or loss is recorded in accumulated other comprehensive

52、income(“AOCI”)and is subsequently reclassified to interest expenseover the life of the related debt.To hedge the exposure to changes in the fair value of our fixed-rate debt,we enter into interest rate swap agreements,which are designated as fair value hedges.The changes in fair values of these deri

53、vative instruments and the offsetting changes in fair values of the underlying hedged debt due to changes in the relevantbenchmark interest rates are recorded in interest expense.Refer to Note 7,Debt,for additional information on our long-term debt.9Table of ContentsForeign CurrencyTo reduce cash fl

54、ow volatility from foreign currency fluctuations,we enter into forward and swap contracts to hedge portions of cash flows of anticipatedintercompany royalty payments,inventory purchases,and intercompany borrowing and lending activities.The resulting gains and losses from these derivativesare recorde

55、d in AOCI and subsequently reclassified to revenue,product and distribution costs,or interest income and other,net,respectively,when the hedgedexposures affect net earnings.From time to time,we may enter into financial instruments,including,but not limited to,forward and swap contracts or foreign cu

56、rrency-denominated debt,tohedge the currency exposure of our net investments in certain international operations.The resulting gains and losses from these derivatives are recorded inAOCI and are subsequently reclassified to net earnings when the hedged net investment is either sold or substantially

57、liquidated.Gains and losses from thesederivatives representing hedged components excluded from the assessment of effectiveness are amortized over the life of the hedging instrument using asystematic and rational method and recognized in interest expense.Foreign currency forward and swap contracts no

58、t designated as hedging instruments are used to mitigate the foreign exchange risk of certain other balancesheet items.Gains and losses from these derivatives are largely offset by the financial impact of translating foreign currency-denominated payables andreceivables,and these gains and losses are

59、 recorded in interest income and other,net.CommoditiesDepending on market conditions,we may enter into coffee forward contracts,futures contracts,and collars to hedge anticipated cash flows under our price-to-be-fixed green coffee contracts,which are described further in Note 4,Inventories,or our lo

60、nger-dated forecasted coffee demand where underlying fixed priceand price-to-be-fixed contracts are not yet available.The resulting gains and losses are recorded in AOCI and are subsequently reclassified to product anddistribution costs when the hedged exposure affects net earnings.Depending on mark

61、et conditions,we may also enter into dairy forward contracts and futures contracts to hedge a portion of anticipated cash flows under ourdairy purchase contracts and our forecasted dairy demand.The resulting gains or losses are recorded in AOCI and are subsequently reclassified to product anddistrib

62、ution costs when the hedged exposure affects net earnings.Cash flow hedges related to anticipated transactions are designated and documented at the inception of each hedge.Cash flows from hedging transactions areclassified in the same categories as the cash flows from the respective hedged items.For

63、 de-designated cash flow hedges in which the underlying transactionsare no longer probable of occurring,the related accumulated derivative gains or losses are recognized in interest income and other,net on our consolidatedstatements of earnings.These derivatives may be accounted for prospectively as

64、 non-designated derivatives until maturity,re-designated to new hedgingrelationships,or terminated early.We continue to believe transactions related to our other designated cash flow hedges are probable to occur.To mitigate the price uncertainty of a portion of our future purchases,including diesel

65、fuel and other commodities,we enter into swap contracts,futures,andcollars that are not designated as hedging instruments.The resulting gains and losses are recorded in interest income and other,net to help offset pricefluctuations on our beverage,food,packaging,and transportation costs,which are in

66、cluded in product and distribution costs on our consolidated statements ofearnings.10Table of ContentsGains and losses on derivative contracts and foreign currency-denominated debt designated as hedging instruments included in AOCI and expected to bereclassified into earnings within 12 months,net of

67、 tax(in millions):Net Gains/(Losses)Included in AOCINet Gains/(Losses)Expectedto be Reclassified from AOCIinto Earnings within 12MonthsOutstanding Contract/DebtRemaining Maturity(Months)Dec 31,2023Oct 1,2023Cash Flow Hedges:Coffee$11.9$(78.1)$3.2 7Cross-currency swaps(0.1)(0.6)11Dairy(2.0)(1.8)(2.0)

68、8Foreign currency-other11.7 39.6 10.1 33Interest rates(5.8)(6.6)(3.0)0Net Investment Hedges:Cross-currency swaps85.5 87.1 111Foreign currency16.0 16.0 0Foreign currency debt116.2 140.2 3Pre-tax gains and losses on derivative contracts and foreign currency-denominated long-term debt designated as hed

69、ging instruments recognized in othercomprehensive income(“OCI”)and reclassifications from AOCI to earnings(in millions):Quarter EndedGains/(Losses)Recognized inOCI Before ReclassificationsGains/(Losses)Reclassified fromAOCI to EarningsLocation of gain/(loss)Dec 31,2023Jan 1,2023Dec 31,2023Jan 1,2023

70、Cash Flow Hedges:Coffee$64.3$(119.4)$(40.4)$96.7 Product and distribution costsCross-currency swaps(1.6)(11.7)0.6(2.7)Interest expense(2.7)(9.1)Interest income and other,netDairy(1.9)(3.6)(1.6)(1.5)Product and distribution costsForeign currency-other(25.4)(46.0)8.8 8.0 Licensed stores revenue2.8 2.2

71、 Product and distribution costs 0.2 Interest income and other,netInterest rates (1.0)(0.5)Interest expenseNet Investment Hedges:Cross-currency swaps 6.6(14.0)8.9 5.3 Interest expenseForeign currency debt(31.8)(50.6)Gains and losses recognized in earnings relate to components excluded from the assess

72、ment of effectiveness.Pre-tax gains and losses on non-designated derivatives and designated fair value hedging instruments and the related fair value hedged item recognized inearnings(in millions):Gains/(Losses)Recognized in EarningsLocation of gain/(loss)recognized in earningsQuarter Ended Dec 31,2

73、023Jan 1,2023Non-Designated Derivatives:Foreign currency-otherInterest income and other,net$(2.4)$(11.6)CoffeeInterest income and other,net(5.5)Diesel fuel and other commoditiesInterest income and other,net(0.7)(0.2)Fair Value Hedges:Interest rate swapsInterest expense11.1(1.6)Long-term debt(hedged

74、item)Interest expense(14.3)(3.3)(1)(1)11Table of ContentsNotional amounts of outstanding derivative contracts(in millions):Dec 31,2023Oct 1,2023Coffee$212$266 Cross-currency swaps1,234 1,076 Dairy47 71 Diesel fuel and other commodities9 7 Foreign currency-other1,149 1,164 Interest rate swaps350 1,10

75、0 Fair value of outstanding derivative contracts(in millions)including the location of the asset and/or liability on the consolidated balance sheets:Derivative AssetsBalance Sheet LocationDec 31,2023Oct 1,2023Designated Derivative Instruments:Cross-currency swapsPrepaid expenses and other current as

76、sets$13.7$Other long-term assets108.5 130.1 DairyPrepaid expenses and other current assets0.1 0.4 Foreign currency-otherPrepaid expenses and other current assets18.0 32.0 Other long-term assets10.7 22.9 Interest rate swapsPrepaid expenses and other current assets 0.4 Non-designated Derivative Instru

77、ments:Diesel fuel and other commoditiesPrepaid expenses and other current assets 0.7 Foreign currencyPrepaid expenses and other current assets5.4 7.5 Derivative LiabilitiesBalance Sheet LocationDec 31,2023Oct 1,2023Designated Derivative Instruments:Cross-currency swapsOther long-term liabilities$0.8

78、$DairyAccrued liabilities0.9 1.1 Foreign currency-otherAccrued liabilities7.3 2.0 Other long-term liabilities7.2 Interest rate swapsOther long-term liabilities30.4 41.4 Non-designated Derivative Instruments:DairyAccrued liabilities0.3 Diesel fuel and other commoditiesAccrued liabilities0.4 Foreign c

79、urrencyAccrued liabilities1.6 0.5 Other long-term liabilities 1.8 The following amounts were recorded on the consolidated balance sheets related to fixed-to-floating interest rate swaps designated in fair value hedgingrelationships(in millions):Carrying amount of hedged itemCumulative amount of fair

80、 value hedging adjustmentincluded in the carrying amountDec 31,2023Oct 1,2023Dec 31,2023Oct 1,2023Location on the balance sheetLong-term debt$324.2$1,060.0$(25.8)$(40.0)Balance as of October 1,2023 includes$750 million in Senior Notes that matured on October 1,2023 but remained in current portion of

81、 long-term debt onthe consolidated balance sheet as the debt repayment was not made until the first day of fiscal 2024.Additional disclosures related to cash flow gains and losses included in AOCI,as well as subsequent reclassifications to earnings,are included in Note 10,Equity.(1)(1)12Table of Con

82、tentsNote 3:Fair Value MeasurementsAssets and liabilities measured at fair value on a recurring basis(in millions):Fair Value Measurements at Reporting Date Using Balance atDecember 31,2023Quoted Prices in ActiveMarkets for Identical Assets(Level 1)Significant OtherObservable Inputs(Level 2)Signific

83、ant Unobservable Inputs(Level 3)Assets:Cash and cash equivalents$3,000.4$3,000.4$Short-term investments:Available-for-sale debt securitiesCorporate debt securities65.1 65.1 U.S.government treasury securities10.4 10.4 Foreign government obligations4.0 4.0 Mortgage and other asset-backedsecurities0.3

84、0.3 Total available-for-sale debt securities79.8 10.4 69.4 Structured deposits225.5 225.5 Marketable equity securities77.7 77.7 Total short-term investments383.0 88.1 294.9 Prepaid expenses and other current assets:Derivative assets37.2 37.2 Long-term investments:Available-for-sale debt securitiesCo

85、rporate debt securities89.2 78.9 10.3 Mortgage and other asset-backedsecurities50.0 50.0 State and local government obligations1.4 1.4 U.S.government treasury securities99.2 99.2 Total long-term investments239.8 99.2 130.3 10.3 Other long-term assets:Derivative assets119.2 119.2 Structured deposits0

86、.1 0.1 Total assets$3,779.7$3,187.7$581.7$10.3 Liabilities:Accrued liabilities:Derivative liabilities$10.5$10.5$Other long-term liabilities:Derivative liabilities38.4 38.4 Total liabilities$48.9$48.9$13Table of Contents Fair Value Measurements at Reporting Date Using Balance atOctober 1,2023Quoted P

87、rices in ActiveMarkets for IdenticalAssets(Level 1)Significant OtherObservable Inputs(Level 2)SignificantUnobservable Inputs(Level 3)Assets:Cash and cash equivalents$3,551.5$3,551.5$Short-term investments:Available-for-sale debt securitiesCorporate debt securities64.0 64.0 U.S.government treasury se

88、curities2.8 2.8 Foreign government obligations3.9 3.9 Total available-for-sale debt securities70.7 2.8 67.9 Structured deposits261.2 261.2 Marketable equity securities69.6 69.6 Total short-term investments401.5 72.4 329.1 Prepaid expenses and other current assets:Derivative assets41.0 41.0 Long-term

89、 investments:Available-for-sale debt securitiesCorporate debt securities91.1 91.1 Mortgage and other asset-backed securities50.2 50.2 State and local government obligations1.3 1.3 U.S.government treasury securities104.7 104.7 Total long-term investments247.3 104.7 142.6 Other long-term assets:Deriva

90、tive assets153.0 153.0 Total assets$4,394.3$3,728.6$665.7$Liabilities:Accrued liabilities:Derivative liabilities$3.6$3.6$Other long-term liabilities:Derivative liabilities43.2 43.2 Total liabilities$46.8$46.8$There were no material transfers between levels,and there was no significant activity withi

91、n Level 3 instruments during the periods presented.The fair valuesof any financial instruments presented above exclude the impact of netting assets and liabilities when a legally enforceable master netting agreement exists.Gross unrealized holding gains and losses on available-for-sale debt securiti

92、es,structured deposits,and marketable equity securities were not material as ofDecember 31,2023 and October 1,2023.Assets and Liabilities Measured at Fair Value on a Nonrecurring BasisAssets and liabilities recognized or disclosed at fair value on the consolidated financial statements on a nonrecurr

93、ing basis include items such as property,plantand equipment,ROU assets,goodwill and other intangible assets,equity and other investments,and other assets.These assets are measured at fair value ifdetermined to be impaired.The estimated fair value of our long-term debt based on the quoted market pric

94、e(Level 2)is included at Note 7,Debt.There were no material fair valueadjustments during the quarter ended December 31,2023 and January 1,2023.14Table of ContentsNote 4:Inventories(in millions):Dec 31,2023Oct 1,2023Coffee:Unroasted$632.7$747.7 Roasted251.2 280.3 Other merchandise held for sale361.5

95、364.6 Packaging and other supplies400.9 413.8 Total$1,646.3$1,806.4 Other merchandise held for sale includes,among other items,serveware,food,and tea.Inventory levels vary due to seasonality,commodity market supply,andprice fluctuations.As of December 31,2023,we had committed to purchasing green cof

96、fee totaling$396.4 million under fixed-price contracts and an estimated$843.7 millionunder price-to-be-fixed contracts.A portion of our price-to-be-fixed contracts are effectively fixed through the use of futures.See Note 2,Derivative FinancialInstruments,for further discussion.Price-to-be-fixed con

97、tracts are purchase commitments whereby the quality,quantity,delivery period,and other negotiatedterms are agreed upon,but the date,and therefore the price,at which the base“C”coffee commodity price component will be fixed has not yet beenestablished.For most contracts,either Starbucks or the seller

98、 has the option to“fix”the base“C”coffee commodity price prior to the delivery date.For othercontracts,Starbucks and the seller may agree upon pricing parameters determined by the base“C”coffee commodity price.Until prices are fixed,we estimatethe total cost of these purchase commitments.We believe,

99、based on established relationships with our suppliers and continuous monitoring,the risk of non-delivery on these purchase commitments is remote.Note 5:Supplemental Balance Sheet and Statement of Earnings Information(in millions):Property,Plant and Equipment,netDec 31,2023Oct 1,2023Land$46.1$46.1 Bu

100、ildings678.4 666.5 Leasehold improvements10,321.7 10,133.7 Store equipment3,432.6 3,332.5 Roasting equipment886.7 859.4 Furniture,fixtures and other1,717.4 1,664.5 Work in progress610.3 607.5 Property,plant and equipment,gross17,693.2 17,310.2 Accumulated depreciation(10,081.5)(9,923.1)Property,plan

101、t and equipment,net$7,611.7$7,387.1 Accrued LiabilitiesDec 31,2023Oct 1,2023Accrued occupancy costs$84.7$86.7 Accrued dividends payable645.2 651.2 Accrued capital and other operating expenditures745.9 771.7 Insurance reserves251.0 233.5 Income taxes payable374.6 189.3 Accrued business taxes225.5 212

102、.7 Total accrued liabilities$2,326.9$2,145.1 15Table of ContentsStore Operating ExpensesQuarter EndedDec 31,2023Jan 1,2023Wages and benefits$2,209.3$2,215.7 Occupancy costs745.7 671.5 Other expenses896.5 778.1 Total store operating expenses$3,851.5$3,665.3 Note 6:Other Intangible Assets and Goodwill

103、Indefinite-Lived Intangible Assets(in millions)Dec 31,2023Oct 1,2023Trade names,trademarks and patents$79.5$79.4 Finite-Lived Intangible AssetsDec 31,2023Oct 1,2023(in millions)Gross CarryingAmountAccumulatedAmortizationNet CarryingAmountGross CarryingAmountAccumulatedAmortizationNet CarryingAmountA

104、cquired and reacquired rights$990.6$(990.6)$957.6$(957.6)$Acquired trade secrets and processes27.6(27.6)27.6(27.6)Trade names,trademarks and patents131.1(96.7)34.4 131.0(91.9)39.1 Licensing agreements13.8(11.9)1.9 13.0(11.0)2.0 Other finite-lived intangible assets20.6(20.6)20.1(20.1)Total finite-liv

105、ed intangible assets$1,183.7$(1,147.4)$36.3$1,149.3$(1,108.2)$41.1 Amortization expense for finite-lived intangible assets was$5.1 million for the quarter ended December 31,2023 and$5.6 million for the quarter endedJanuary 1,2023.Estimated future amortization expense as of December 31,2023(in millio

106、ns):Fiscal YearTotal2024(excluding the quarter ended December 31,2023)$14.9 202514.1 20262.1 20271.8 20281.2 Thereafter2.2 Total estimated future amortization expense$36.3 GoodwillChanges in the carrying amount of goodwill by reportable operating segment(in millions):North AmericaInternationalChanne

107、l DevelopmentCorporate and OtherTotalGoodwill balance at October 1,2023$491.5$2,691.1$34.7$1.0$3,218.3 Other0.5 84.0 84.5 Goodwill balance at December 31,2023$492.0$2,775.1$34.7$1.0$3,302.8“Other”consists of changes in the goodwill balance resulting from foreign currency translation.(1)(1)16Table of

108、 ContentsNote 7:DebtRevolving Credit FacilityOur$3.0 billion unsecured five-year revolving credit facility(the“2021 credit facility”),of which$150.0 million may be used for issuances of letters of credit,is currently set to mature on September 16,2026.The 2021 credit facility is available for workin

109、g capital,capital expenditures,and other corporate purposes,including acquisitions and share repurchases.We have the option,subject to negotiation and agreement with the related banks,to increase the maximumcommitment amount by an additional$1.0 billion.Borrowings under the 2021 credit facility,whic

110、h was most recently amended in April 2023,will bear interest at a variable rate based on Term SOFR,and,forU.S.dollar-denominated loans under certain circumstances,a Base Rate(as defined in the 2021 credit facility),in each case plus an applicable margin.Theapplicable margin is based on the Companys

111、long-term credit ratings assigned by the Moodys and Standard&Poors rating agencies.The“Base Rate”is thehighest of(i)the Federal Funds Rate(as defined in the 2021 credit facility)plus 0.500%,(ii)Bank of Americas prime rate,and(iii)Term SOFR plus 1.000%.Term SOFR means the forward-looking SOFR term ra

112、te administrated by the Chicago Mercantile Exchange plus a SOFR Adjustment of 0.100%.The 2021 credit facility contains provisions requiring us to maintain compliance with certain covenants,including a minimum fixed charge coverage ratio,which measures our ability to cover financing expenses.As of De

113、cember 31,2023,we were in compliance with all applicable covenants.No amounts wereoutstanding under our 2021 credit facility as of December 31,2023 or October 1,2023.Short-term DebtUnder our commercial paper program,we may issue unsecured commercial paper notes up to a maximum aggregate amount outst

114、anding at any time of$3.0billion,with individual maturities that may vary but not exceed 397 days from the date of issue.Amounts outstanding under the commercial paper program arerequired to be backstopped by available commitments under our 2021 credit facility.The proceeds from borrowings under our

115、 commercial paper program maybe used for working capital needs,capital expenditures,and other corporate purposes,including,but not limited to,business expansion,payment of cashdividends on our common stock,and share repurchases.As of December 31,2023,we had$300.0 million in borrowings outstanding un

116、der the program.As ofOctober 1,2023,we had no borrowings outstanding under this program.Additionally,we hold the following Japanese yen-denominated credit facilities that are available for working capital needs and capital expenditures within ourJapanese market:A 5.0 billion,or$35.4 million,credit f

117、acility is currently set to mature on December 30,2024.Borrowings under this credit facility are subject toterms defined within the facility and will bear interest at a variable rate based on Tokyo Interbank Offered Rate(“TIBOR”)plus an applicable marginof 0.400%.A 10.0 billion,or$70.7 million,credi

118、t facility is currently set to mature on March 27,2024.Borrowings under this credit facility are subject to termsdefined within the facility and will bear interest at a variable rate based on TIBOR plus an applicable margin of 0.300%.As of December 31,2023,we had 7.0 billion,or$49.5 million,of borro

119、wings outstanding under these credit facilities.As of October 1,2023,we had5.0 billion,or$33.5 million,of borrowings outstanding under these credit facilities.17Table of ContentsLong-term DebtComponents of long-term debt including the associated interest rates and related estimated fair values by ca

120、lendar maturity(in millions,except interest rates):Dec 31,2023Oct 1,2023Stated Interest RateEffective InterestRateIssuanceAmountEstimated FairValueAmountEstimated FairValueOctober 2023 notes$750.0$749.9 3.850%2.859%February 2024 notes500.0 500.0 500.0 504.2 5.998%6.229%March 2024 notes601.1 601.0 56

121、9.3 569.3 0.372%0.462%August 2025 notes1,250.0 1,227.2 1,250.0 1,210.5 3.800%3.721%February 2026 notes1,000.0 1,004.6 1,000.0 985.5 4.750%4.788%June 2026 notes500.0 475.5 500.0 463.5 2.450%2.511%March 2027 notes500.0 462.5 500.0 446.1 2.000%2.058%March 2028 notes600.0 575.4 600.0 554.7 3.500%3.529%N

122、ovember 2028 notes750.0 739.5 750.0 704.5 4.000%3.958%August 2029 notes1,000.0 964.1 1,000.0 904.1 3.550%3.840%March 2030 notes750.0 659.1 750.0 615.1 2.250%3.084%November 2030 notes1,250.0 1,105.0 1,250.0 1,027.1 2.550%2.582%February 2032 notes1,000.0 896.1 1,000.0 828.0 3.000%3.155%February 2033 n

123、otes500.0 510.2 500.0 470.7 4.800%3.798%June 2045 notes350.0 312.8 350.0 275.3 4.300%4.348%December 2047 notes500.0 403.7 500.0 354.0 3.750%3.765%November 2048 notes1,000.0 911.3 1,000.0 799.0 4.500%4.504%August 2049 notes1,000.0 909.8 1,000.0 792.7 4.450%4.447%March 2050 notes500.0 374.6 500.0 328.

124、6 3.350%3.362%November 2050 notes1,250.0 969.4 1,250.0 843.4 3.500%3.528%Total14,801.1 13,601.8 15,519.3 13,426.2 Aggregate debt issuance costs andunamortized premium/(discount),net(109.7)(113.1)Hedge accounting fair value adjustment(25.8)(40.0)Total$14,665.6$15,366.2 Includes the effects of the amo

125、rtization of any premium or discount and any gain or loss upon settlement of related treasury locks or forward-startinginterest rate swaps utilized to hedge interest rate risk prior to the debt issuance.Amount includes the change in fair value due to changes in benchmark interest rates related to he

126、dging our October 2023 notes and$350 million of ourAugust 2029 notes.Refer to Note 2,Derivative Financial Instruments,for additional information on our interest rate swap designated as a fair value hedge.Floating rate notes that bear interest at a rate equal to Compounded SOFR(as defined in the Febr

127、uary 2024 notes)plus 0.420%,resulting in a statedinterest rate of 5.998%at December 31,2023.Japanese yen-denominated long-term debt.(1)(2)(3)(4)(2)(2)(1)(2)(3)(4)18Table of ContentsThe following table summarizes our long-term debt maturities as of December 31,2023 by fiscal year(in millions):Fiscal

128、YearTotal2024$1,101.1 20251,250.0 20261,500.0 2027500.0 2028600.0 Thereafter9,850.0 Total$14,801.1 Note 8:LeasesThe components of lease costs(in millions):Quarter EndedDec 31,2023Jan 1,2023Operating lease costs$417.4$384.8 Variable lease costs271.9 235.3 Short-term lease costs7.7 7.0 Total lease cos

129、ts$697.0$627.1 Includes immaterial amounts of sublease income and rent concessions.The following table includes supplemental information(in millions):Quarter EndedDec 31,2023Jan 1,2023Cash paid related to operating lease liabilities$428.6$404.1 Operating lease liabilities arising from obtaining righ

130、t-of-use assets470.9 367.3 Dec 31,2023Jan 1,2023Weighted-average remaining operating lease term8.6 years8.5 yearsWeighted-average operating lease discount rate3.1%2.7%Finance lease assets are recorded in property,plant and equipment,net with the corresponding lease liabilities included in accrued li

131、abilities and other long-term liabilities on the consolidated balance sheet.There were no material finance leases as of December 31,2023 and October 1,2023.Minimum future maturities of operating lease liabilities(in millions):Fiscal YearTotal2024(excluding the quarter ended December 31,2023)$1,214.9

132、 20251,587.2 20261,465.0 20271,281.1 20281,076.3 Thereafter4,260.5 Total lease payments10,885.0 Less imputed interest(1,436.6)Total$9,448.4 As of December 31,2023,we have entered into operating leases that have not yet commenced of$1.5 billion,primarily related to real estate leases.Theseleases will

133、 commence between fiscal year 2024 and fiscal year 2027 with lease terms ranging from two to twenty years.(1)(1)19Table of ContentsNote 9:Deferred RevenueOur deferred revenue primarily consists of the prepaid royalty from Nestl,for which we have continuing performance obligations to support the Glob

134、al CoffeeAlliance,our unredeemed stored value card liability and unredeemed loyalty points(“Stars”)associated with our loyalty program.As of December 31,2023 and October 1,2023,the current and long-term deferred revenue related to the Nestl up-front payment was$177.0 million and$6.0billion,respectiv

135、ely.During each of the quarters ended December 31,2023 and January 1,2023,we recognized$44.1 million of prepaid royalty revenuerelated to Nestl.Changes in our deferred revenue balance related to our stored value cards and loyalty program(in millions):Quarter Ended December 31,2023TotalStored value c

136、ards and loyalty program at October 1,2023$1,567.5 Revenue deferred-card activations,card reloads and Stars earned4,687.2 Revenue recognized-card and Stars redemptions and breakage(4,098.4)Other13.4 Stored value cards and loyalty program at December 31,2023$2,169.7 Quarter Ended January 1,2023TotalS

137、tored value cards and loyalty program at October 2,2022$1,503.0 Revenue deferred-card activations,card reloads and Stars earned4,223.4 Revenue recognized-card and Stars redemptions and breakage(3,714.1)Other13.3 Stored value cards and loyalty program at January 1,2023$2,025.6“Other”primarily consist

138、s of changes in the stored value cards and loyalty program balances resulting from foreign currency translation.As of December 31,2023 and January 1,2023,approximately$2.0 billion and$1.9 billion,respectively,of these amounts were current.(1)(2)(1)(2)(1)(2)20Table of ContentsNote 10:EquityChanges in

139、 AOCI by component,net of tax(in millions):Quarter Ended Available-for-SaleDebt Securities Cash FlowHedges Net InvestmentHedgesTranslationAdjustment andOtherTotalDecember 31,2023Net gains/(losses)in AOCI,beginning of period$(12.3)$(47.5)$243.3$(961.7)$(778.2)Net gains/(losses)recognized in OCI befor

140、e reclassifications4.2 33.6(18.9)178.2 197.1 Net(gains)/losses reclassified from AOCI to earnings0.2 29.6(6.7)23.1 Other comprehensive income/(loss)attributable to Starbucks4.4 63.2(25.6)178.2 220.2 Other comprehensive income/(loss)attributable to NCI 0.2 0.2 Net gains/(losses)in AOCI,end of period$

141、(7.9)$15.7$217.7$(783.3)$(557.8)January 1,2023Net gains/(losses)in AOCI,beginning of period$(15.5)$199.0$209.1$(855.8)$(463.2)Net gains/(losses)recognized in OCI before reclassifications1.5(151.2)(48.3)208.9 10.9 Net(gains)/losses reclassified from AOCI to earnings0.1(82.7)(4.0)(86.6)Other comprehen

142、sive income/(loss)attributable to Starbucks1.6(233.9)(52.3)208.9(75.7)Net gains/(losses)in AOCI,end of period$(13.9)$(34.9)$156.8$(646.9)$(538.9)Impact of reclassifications from AOCI on the consolidated statements of earnings(in millions):Quarter EndedAOCIComponentsAmounts Reclassified from AOCIAffe

143、cted Line Item inthe Statements of EarningsDec 31,2023Jan 1,2023Gains/(losses)on available-for-sale debt securities$(0.3)$(0.2)Interest income and other,netGains/(losses)on cash flow hedges(33.5)93.3 Please refer to Note 2,Derivative Financial Instrumentsfor additional information.Gains/(losses)on n

144、et investment hedges8.9 5.3 Interest expense(24.9)98.4 Total before tax1.8(11.8)Tax expense$(23.1)$86.6 Net of taxIn addition to 2.4 billion shares of authorized common stock with$0.001 par value per share,we have 7.5 million shares of authorized preferred stock,none ofwhich was outstanding as of De

145、cember 31,2023.During the quarters ended December 31,2023 and January 1,2023,we repurchased 12.8 million and 1.9 million shares of common stock on the open marketfor$1,250.1 million and$191.4 million,respectively.As of December 31,2023,29.8 million shares remained available for repurchase under curr

146、entauthorizations.During the first quarter of fiscal 2024,our Board of Directors approved a quarterly cash dividend to shareholders of$0.57 per share to be paid on February 23,2024 to shareholders of record as of the close of business on February 9,2024.Note 11:Employee Stock PlansAs of December 31,

147、2023,there were 84.9 million shares of common stock available for issuance pursuant to future equity-based compensation awards and10.1 million shares available for issuance under our employee stock purchase plan.21Table of ContentsStock-based compensation expense recognized in the consolidated state

148、ments of earnings(in millions):Quarter Ended Dec 31,2023Jan 1,2023Restricted Stock Units(“RSUs”)$94.8$85.0 Options 0.1 Total stock-based compensation expense$94.8$85.1 Stock option and RSU transactions from October 1,2023 through December 31,2023(in millions):Stock OptionsRSUsOptions outstanding/Non

149、vested RSUs,October 1,20232.0 7.3 Granted 3.9 Options exercised/RSUs vested(0.4)(2.8)Forfeited/expired(0.2)Options outstanding/Nonvested RSUs,December 31,20231.6 8.2 Total unrecognized stock-based compensation expense,net of estimated forfeitures,as of December 31,2023$380.5 Note 12:Earnings per Sha

150、reCalculation of net earnings per common share(“EPS”)basic and diluted(in millions,except EPS):Quarter EndedDec 31,2023Jan 1,2023Net earnings attributable to Starbucks$1,024.4$855.2 Weighted average common shares outstanding(for basic calculation)1,136.6 1,148.5 Dilutive effect of outstanding common

151、 stock options and RSUs4.0 4.4 Weighted average common and common equivalent shares outstanding(for diluted calculation)1,140.6 1,152.9 EPS basic$0.90$0.74 EPS diluted$0.90$0.74 Potential dilutive shares consist of the incremental common shares issuable upon the exercise of outstanding stock options

152、(both vested and non-vested)andunvested RSUs,calculated using the treasury stock method.The calculation of dilutive shares outstanding excludes anti-dilutive stock options or unvestedRSUs,which were immaterial in the periods presented.Note 13:Commitments and ContingenciesLegal ProceedingsStarbucks i

153、s involved in various legal proceedings arising in the ordinary course of business,including litigation matters associated with labor union organizingefforts and certain employment litigation cases that have been certified as class or collective actions,but is not currently a party to any legal proc

154、eeding thatmanagement believes could have a material adverse effect on our consolidated financial position,results of operations,or cash flows.While we are closelymonitoring the operational and financial impacts of labor union organizing efforts on our business,as of the date of this filing,we belie

155、ve the risk of a materialcontingent loss associated with these litigation matters is remote.Refer to the Risk Factors in Part I,Item 1A of our most recently filed 10-K for furtherdiscussion of potential risks to our brand and related impacts on our financial results.22Table of ContentsNote 14:Segmen

156、t ReportingSegment information is prepared on the same basis that our chief executive officer,who is our chief operating decision maker,manages the segments,evaluatesfinancial results,and makes key operating decisions.Consolidated revenue mix by product type(in millions):Quarter EndedDec 31,2023Jan

157、1,2023Beverage$5,695.9 60%$5,173.0 59%Food1,757.1 19%1,565.9 18%Other1,972.3 21%1,975.0 23%Total$9,425.3 100%$8,713.9 100%“Beverage”represents sales within our company-operated stores.“Food”includes sales within our company-operated stores.“Other”primarily consists of packaged and single-serve coffe

158、es and teas,royalty and licensing revenues,serveware,and beverage-related ingredients,among other items.The tables below present financial information for our reportable operating segments and Corporate and Other segment(in millions):Quarter EndedNorth AmericaInternationalChannelDevelopmentCorporate

159、 andOtherTotalDecember 31,2023Total net revenues$7,120.7$1,846.3$448.0$10.3$9,425.3 Depreciation and amortization expenses250.4 84.1 30.8 365.3 Income from equity investees 0.2 55.7 55.9 Operating income/(loss)$1,520.8$241.5$209.7$(486.6)$1,485.4 January 1,2023Total net revenues$6,551.3$1,680.1$478.

160、2$4.3$8,713.9 Depreciation and amortization expenses216.9 81.5 28.7 327.1 Income from equity investees 0.5 57.3 57.8 Operating income/(loss)$1,212.4$240.4$226.3$(426.0)$1,253.1(1)(2)(3)(1)(2)(3)23Table of ContentsItem 2.Managements Discussion and Analysis of Financial Condition and Results of Operat

161、ionsCAUTIONARY STATEMENT PURSUANT TO THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995Certain statements contained herein are“forward-looking”statements within the meaning of applicable securities laws and regulations.Generally,thesestatements can be identified by the use of words such as“aim,”“a

162、nticipate,”“believe,”“continue,”“could,”“estimate,”“expect,”“feel,”“forecast,”“intend,”“may,”“outlook,”“plan,”“potential,”“predict,”“project,”“seek,”“should,”“will,”“would,”and similar expressions intended to identifyforward-looking statements,although not all forward-looking statements contain thes

163、e identifying words.By their nature,forward-looking statements involverisks,uncertainties,and other factors(many beyond our control)that could cause our actual results to differ materially from our historical experience or fromour current expectations or projections.Our forward-looking statements,an

164、d the risks and uncertainties related thereto,include,but are not limited to,thosedescribed under the“Risk Factors”and“Managements Discussion and Analysis of Financial Condition and Results of Operations”sections of our mostrecently filed 10-K and 10-Q and in other filings with the SEC,as well as:ou

165、r ability to preserve,grow,and leverage our brands,including the risk of negative responses by consumers(such as boycotts or negative publicitycampaigns)or governmental actors(such as retaliatory legislative treatment)who object to certain actions taken or not taken by the Company,whichresponses cou

166、ld adversely affect our brand value;the acceptance of the Companys products and changes in consumer preferences,consumption,or spending behavior and our ability to anticipate orreact to them;shifts in demographic or health and wellness trends;or unfavorable consumer reaction to new products,platform

167、s,reformulations,orother innovations;our anticipated operating expenses,including our anticipated total capital expenditures;the costs associated with,and the successful execution and effects of,our existing and any future business opportunities,expansions,initiatives,strategies,investments,and plan

168、s,including our Triple Shot Reinvention with Two Pumps Plan(“Reinvention”);the impacts of partner investments and changes in the availability and cost of labor including any union organizing efforts and our responses to suchefforts;the ability of our business partners,suppliers,and third-party provi

169、ders to fulfill their responsibilities and commitments;higher costs,lower quality,or unavailability of coffee,dairy,energy,water,raw materials,or product ingredients;the impact of significant increases in logistics costs;a worsening in the terms and conditions upon which we engage with our manufactu

170、rers and source suppliers,whether resulting from broader local orglobal conditions,or dynamics specific to our relationships with such parties;unfavorable global or regional economic conditions and related economic slowdowns or recessions,low consumer confidence,high unemployment,weak credit or capi

171、tal markets,budget deficits,burdensome government debt,austerity measures,higher interest rates,higher taxes,politicalinstability,higher inflation,or deflation;inherent risks of operating a global business including geopolitical instability;failure to attract or retain key executive or partner talen

172、t or successfully transition executives;the potential negative effects of incidents involving food or beverage-borne illnesses,tampering,adulteration,contamination,or mislabeling;negative publicity related to our Company,products,brands,marketing,executive leadership,partners,Board of Directors,foun

173、der,operations,business performance,or prospects;potential negative effects of a material breach,failure,or corruption of our information technology systems or those of our direct and indirectbusiness partners,suppliers,or third-party providers,or failure to comply with personal data protection laws

174、;our environmental,social,and governance(“ESG”)efforts and any reaction related thereto,such as the rise in opposition to ESG and inclusion anddiversity efforts;risks associated with acquisitions,dispositions,business partnerships,or investments such as acquisition integration,termination difficulti

175、es orcosts,or impairment in recorded value;the impact of foreign currency translation,particularly a stronger U.S.dollar;the impact of substantial competition from new entrants,consolidations by competitors,and other competitive activities,such as pricing actions(including price reductions,promotion

176、s,discounting,couponing,or free goods),marketing,category expansion,product introductions,or entry orexpansion in our geographic markets;the impact of changes in U.S.tax law and related guidance and regulations that may be implemented,including on tax rates;the impact of health epidemics,pandemics,o

177、r other public health events on our business and financial results,and the risk of negative economicimpacts and related regulatory measures or voluntary actions that may be put in place,including restrictions on business operations or socialdistancing requirements,and the duration and efficacy of su

178、ch restrictions;failure to comply with anti-corruption laws,trade sanctions,and restrictions or similar laws or regulations;andthe impact of significant legal disputes and proceedings,or government investigations.In addition,many of the foregoing risks and uncertainties are,or could be,exacerbated b

179、y any worsening of the global business and economic environment.Aforward-looking statement is neither a prediction nor a guarantee of future events or circumstances,and those future events or circumstances may not occur.You should not place undue reliance on the forward-24Table of Contentslooking st

180、atements,which speak only as of the date of this report.We are under no obligation to update or alter any forward-looking statements,whether as aresult of new information,future events,or otherwise.This information should be read in conjunction with the unaudited consolidated financial statements an

181、d the notes included in Item 1 of Part I of this 10-Q andthe audited consolidated financial statements and notes,and Managements Discussion and Analysis of Financial Condition and Results of Operations(“MD&A”),contained in the 10-K filed with the SEC on November 17,2023.25Table of ContentsIntroducti

182、on and OverviewStarbucks is the premier roaster,marketer,and retailer of specialty coffee in the world,operating in 86 markets.As of December 31,2023,Starbucks had morethan 38,500 company-operated and licensed stores,an increase of 7%from the prior year.Additionally,we sell a variety of consumer-pac

183、kaged goods,primarily through the Global Coffee Alliance established with Nestl and other partnerships and joint ventures.We have three reportable operating segments:1)North America,which is inclusive of the U.S.and Canada;2)International,which is inclusive of China,Japan,Asia Pacific,Europe,Middle

184、East,Africa,Latin America,and the Caribbean;and 3)Channel Development.Unallocated corporate expenses are reportedwithin Corporate and Other.We believe our financial results and long-term growth model will continue to be driven by new store openings,comparable store sales growth,and operatingmargin m

185、anagement,underpinned by disciplined capital allocation.We believe these key operating metrics are useful to investors because management usesthese metrics to assess the growth of our business and the effectiveness of our marketing and operational strategies.Throughout this MD&A,we commonlydiscuss t

186、he following key operating metrics:New store openings and store countComparable store sales growthOperating marginComparable store sales growth represents the percentage change in sales in one period from the same prior year period for company-operated stores open for13 months or longer and excludes

187、 the impact of foreign currency translation.We analyze comparable store sales growth on a constant currency basis as thishelps identify underlying business trends,without distortion from the effects of currency movements.Stores that are temporarily closed or operating at reducedhours remain in compa

188、rable store sales while stores identified for permanent closure have been removed.Our fiscal year ends on the Sunday closest to September 30.Fiscal 2024 and 2023 include 52 weeks.All references to store counts,including data for new storeopenings,are reported net of store closures,unless otherwise n

189、oted.Starbucks results for the first quarter of fiscal 2024 continue to demonstrate the overall strength of our brand and efficiencies realized from Reinvention,despite certain headwinds.Consolidated net revenues increased 8%to$9.4 billion in the first quarter of fiscal 2024 compared to$8.7 billion

190、in the first quarterof fiscal 2023,primarily driven by growth in our North America business and our International segment,largely related to lapping prior year COVID-19pandemic-related business disruptions in China.During the quarter ended December 31,2023,our global comparable store sales grew 5%,p

191、rimarily driven by5%growth in the U.S.market and 7%growth internationally,demonstrating the endurance of the Starbucks brand globally.Consolidated operating marginincreased 140 basis points from the prior year to 15.8%,primarily driven by sales leverage and in-store operational efficiencies.These in

192、creases were partiallyoffset by increased investments in store partner wages and benefits,as well as higher general and administrative expenses,primarily in support of Reinvention.We anticipate these headwinds experienced in the first quarter of fiscal 2024,although transitory,may continue to impact

193、 the balance of our fiscal year.Despitethese transitory headwinds,we remain confident in our long-term growth and durable business model,as our Triple Shot Reinvention is unlocking multiplelevers to drive balanced earnings growth,as evidenced in our first quarter of fiscal 2024 results.Results of Op

194、erations(in millions)Revenues Quarter EndedDec 31,2023Jan 1,2023$Change%ChangeCompany-operated stores$7,755.2$7,083.5$671.7 9.5%Licensed stores1,192.1 1,119.5 72.6 6.5 Other478.0 510.9(32.9)(6.4)Total net revenues$9,425.3$8,713.9$711.4 8.2%For the quarter ended December 31,2023 compared with the qua

195、rter ended January 1,2023Total net revenues for the first quarter of fiscal 2024 increased$711 million,primarily due to higher revenues from company-operated stores($672 million).The growth of company-operated stores revenue was driven by a 5%increase in comparable store sales($369 million),attribut

196、able to a 3%increase incomparable transactions and a 2%increase in average ticket.Also contributing to company-operated stores revenue were incremental revenues from 1,475 netnew Starbuckscompany-operated 26Table of Contentsstores,or an 8%increase,over the past 12 months($326 million).Partially offs

197、etting these increases was unfavorable foreign currency translation($30million).Licensed stores revenue increased$73 million contributing to the increase in total net revenues,driven by higher product and equipment sales to and royaltyrevenues from our licensees($64 million),primarily driven by reve

198、nues from 942 net new licensed store openings,or a 5%increase,over the past 12 months.Other revenues decreased$33 million,primarily due to a decline in revenue in the Global Coffee Alliance following the sale of our Seattles Best Coffee brandto Nestl in the second quarter of fiscal 2023($19 million)

199、and lower revenue in our global ready-to-drink business($11 million).Operating Expenses Quarter EndedDec 31,2023Jan 1,2023$ChangeDec 31,2023Jan 1,2023As a%ofTotal Net RevenuesProduct and distribution costs$2,980.6$2,810.2$170.4 31.6%32.2%Store operating expenses3,851.5 3,665.3 186.2 40.9 42.1 Other

200、operating expenses150.4 129.3 21.1 1.6 1.5 Depreciation and amortization expenses365.3 327.1 38.2 3.9 3.8 General and administrative expenses648.0 580.9 67.1 6.9 6.7 Restructuring and impairments 5.8(5.8)0.1 Total operating expenses7,995.8 7,518.6 477.2 84.8 86.3 Income from equity investees55.9 57.

201、8(1.9)0.6 0.7 Operating income$1,485.4$1,253.1$232.3 15.8%14.4%Store operating expenses as a%of company-operated stores revenue49.7%51.7%For the quarter ended December 31,2023 compared with the quarter ended January 1,2023Product and distribution costs as a percentage of total net revenues decreased

202、 60 basis points for the first quarter of fiscal 2024,primarily due to the impact ofincreased sales from pricing.Store operating expenses as a percentage of total net revenues decreased 120 basis points for the first quarter of fiscal 2024.Store operating expenses as apercentage of company-operated

203、stores revenue decreased 200 basis points,primarily due to in-store operational efficiencies(approximately 210 basis points),and sales leverage(approximately 160 basis points).These were partially offset by increased investments in store partner wages and benefits(approximately130 basis points).Othe

204、r operating expenses increased$21 million,primarily due to support costs in wages and benefits and marketing for our growing licensed markets.Depreciation and amortization expenses as a percentage of total net revenues increased 10 basis points,primarily due to higher capital investments in supporto

205、f our retail stores.General and administrative expenses increased$67 million,primarily due to investments in partner wages and benefits($33 million)and incrementalinvestments in technology in support of our Reinvention($32 million).The combination of these changes resulted in an overall increase in

206、operating margin of 140 basis points for the first quarter of fiscal 2024.27Table of ContentsOther Income and Expenses Quarter EndedDec 31,2023Jan 1,2023$ChangeDec 31,2023Jan 1,2023As a%of TotalNet RevenuesOperating income$1,485.4$1,253.1$232.3 15.8%14.4%Interest income and other,net33.8 11.6 22.2 0

207、.4 0.1 Interest expense(140.1)(129.7)(10.4)(1.5)(1.5)Earnings before income taxes1,379.1 1,135.0 244.1 14.6 13.0 Income tax expense354.7 279.8 74.9 3.8 3.2 Net earnings including noncontrolling interests1,024.4 855.2 169.2 10.9 9.8 Net earnings attributable to noncontrolling interests0.0 0.0 0.0 0.0

208、 0.0 Net earnings attributable to Starbucks$1,024.4$855.2$169.2 10.9%9.8%Effective tax rate including noncontrolling interests25.7%24.6%For the quarter ended December 31,2023 compared with the quarter ended January 1,2023Interest income and other,net increased$22 million and interest expense increas

209、ed$10 million,both primarily due to higher interest rates in the current year.The effective tax rate for the quarter ended December 31,2023 was 25.7%compared to 24.6%for the same period in fiscal 2023.The increase was primarilydue to the accrual of foreign withholding taxes related to the current-ye

210、ar earnings of certain foreign subsidiaries(approximately 80 basis points).28Table of ContentsSegment InformationResults of operations by segment(in millions):North America Quarter EndedDec 31,2023Jan 1,2023$ChangeDec 31,2023Jan 1,2023As a%of North AmericaTotal Net RevenuesNet revenues:Company-opera

211、ted stores$6,381.1$5,870.6$510.5 89.6%89.6%Licensed stores737.9 680.0 57.9 10.4 10.4 Other1.7 0.7 1.0 0.0 0.0 Total net revenues7,120.7 6,551.3 569.4 100.0 100.0 Product and distribution costs2,023.9 1,917.6 106.3 28.4 29.3 Store operating expenses3,147.7 3,031.4 116.3 44.2 46.3 Other operating expe

212、nses77.4 65.6 11.8 1.1 1.0 Depreciation and amortization expenses250.4 216.9 33.5 3.5 3.3 General and administrative expenses100.5 102.3(1.8)1.4 1.6 Restructuring and impairments 5.1(5.1)0.1 Total operating expenses5,599.9 5,338.9 261.0 78.6 81.5 Operating income$1,520.8$1,212.4$308.4 21.4%18.5%Stor

213、e operating expenses as a%of company-operated stores revenue49.3%51.6%For the quarter ended December 31,2023 compared with the quarter ended January 1,2023RevenuesNorth America total net revenues for the first quarter of fiscal 2024 increased$569 million,or 9%,primarily due to a 5%increase in compar

214、able store sales($288 million)driven by a 4%increase in average ticket,primarily due to annualization of pricing,and a 1%increase in comparable transactions.Alsocontributing to revenue growth were the performance of net new company-operated store openings over the past 12 months($222 million)and hig

215、her productand equipment sales to and royalty revenues from our licensees($49 million).Operating MarginNorth America operating income for the first quarter of fiscal 2024 increased 25%to$1.5 billion,compared to$1.2 billion in the first quarter of fiscal 2023.Operating margin increased 290 basis poin

216、ts to 21.4%,primarily due to in-store operational efficiencies(approximately 240 basis points)and sales leverage(approximately 180 basis points),partially offset by increased investments in store partner wages and benefits(approximately 120 basis points).29Table of ContentsInternational Quarter Ende

217、d Dec 31,2023Jan 1,2023$ChangeDec 31,2023Jan 1,2023As a%of InternationalTotal Net RevenuesNet revenues:Company-operated stores$1,374.1$1,212.9$161.2 74.4%72.2%Licensed stores454.2 439.5 14.7 24.6 26.2 Other18.0 27.7(9.7)1.0 1.6 Total net revenues1,846.3 1,680.1 166.2 100.0 100.0 Product and distribu

218、tion costs666.5 593.6 72.9 36.1 35.3 Store operating expenses703.8 633.9 69.9 38.1 37.7 Other operating expenses60.1 50.7 9.4 3.3 3.0 Depreciation and amortization expenses84.1 81.5 2.6 4.6 4.9 General and administrative expenses90.5 80.5 10.0 4.9 4.8 Total operating expenses1,605.0 1,440.2 164.8 86

219、.9 85.7 Income from equity investees0.2 0.5(0.3)0.0 0.0 Operating income$241.5$240.4$1.1 13.1%14.3%Store operating expenses as a%of company-operated stores revenue51.2%52.3%For the quarter ended December 31,2023 compared with the quarter ended January 1,2023RevenuesInternational total net revenues f

220、or the first quarter of fiscal 2024 increased$166 million,or 10%,primarily due to 1,016 net new Starbucks company-operatedstores,or a 12%increase over the past 12 months($104 million),as well as a 7%increase in comparable store sales($81 million)driven by an 11%increase incustomer transactions,prima

221、rily attributable to lapping prior-year impacts from COVID-19 pandemic related disruptions in China.These increases werepartially offset by unfavorable foreign currency translation($30 million).Also contributing to the increase in revenue was growth related to 851 net newlicensed store openings,an 8

222、%increase over the past 12 months,partially offset by unfavorable impacts related to certain headwinds.Operating MarginInternational operating income for the first quarter of fiscal 2024 increased to$242 million,compared to$240 million in the first quarter of fiscal 2023.Operating margin decreased 1

223、20 basis points to 13.1%,primarily due to investments in store partner wages and benefits(approximately 130 basis points),business mix shift toward company-operated stores(approximately 120 basis points),and strategic investments(approximately 100 basis points).Thesedecreases were partially offset b

224、y sales leverage(approximately 300 basis points).30Table of ContentsChannel Development Quarter Ended Dec 31,2023Jan 1,2023$ChangeDec 31,2023Jan 1,2023As a%of Channel DevelopmentTotal Net RevenuesNet revenues$448.0$478.2$(30.2)Product and distribution costs279.0 294.2(15.2)62.3%61.5%Other operating

225、expenses12.8 13.0(0.2)2.9 2.7 General and administrative expenses2.2 2.0 0.2 0.5 0.4 Total operating expenses294.0 309.2(15.2)65.6 64.7 Income from equity investees55.7 57.3(1.6)12.4 12.0 Operating income$209.7$226.3$(16.6)46.8%47.3%For the quarter ended December 31,2023 compared with the quarter en

226、ded January 1,2023RevenuesChannel Development total net revenues for the first quarter of fiscal 2024 decreased$30 million,or 6%,primarily due to a decline in revenue in the GlobalCoffee Alliance following the sale of our Seattles Best Coffee brand to Nestl in the second quarter of fiscal 2023($19 m

227、illion)and lower revenue in ourglobal ready-to-drink business($11 million).Operating MarginChannel Development operating income for the first quarter of fiscal 2024 decreased 7%to$210 million,compared to$226 million in the first quarter of fiscal2023.Operating margin decreased 50 basis points to 46.

228、8%,primarily driven by product costs related to the Global Coffee Alliance(approximately 430 basispoints),partially offset by business mix shift(approximately 370 basis points).Corporate and Other Quarter EndedDec 31,2023Jan 1,2023$Change%ChangeNet revenues:Other$10.3$4.3$6.0 139.5%Total net revenue

229、s10.3 4.3 6.0 139.5 Product and distribution costs11.2 4.8 6.4 133.3 Other operating expenses0.1 0.1 nmDepreciation and amortization expenses30.8 28.7 2.1 7.3 General and administrative expenses454.8 396.1 58.7 14.8 Restructuring and impairments 0.7(0.7)nmTotal operating expenses496.9 430.3 66.6 15.

230、5 Operating loss$(486.6)$(426.0)$(60.6)14.2%Corporate and Other primarily consists of our unallocated corporate expenses.Unallocated corporate expenses include corporate administrative functions thatsupport the operating segments but are not specifically attributable to or managed by any segment and

231、 are not included in the reported financial results of theoperating segments.For the quarter ended December 31,2023 compared with the quarter ended January 1,2023Corporate and Other operating loss increased by 14%to$487 million for the first quarter of fiscal 2024 compared to$426 million for the fir

232、st quarter of fiscal2023.This increase was primarily driven by incremental investments in technology in support of our Reinvention($30 million)and higher partner wages andbenefits($17 million).31Table of ContentsQuarterly Store DataOur store data for the periods presented is as follows:Net stores op

233、ened/(closed)and transferredduring the period Quarter EndedStores open as ofDec 31,2023Jan 1,2023Dec 31,2023Jan 1,2023North AmericaCompany-operated stores87 40 10,715 10,256 Licensed stores34 46 7,216 7,125 Total North America121 86 17,931 17,381 InternationalCompany-operated stores186 97 9,150 8,13

234、4 Licensed stores242 276 11,506 10,655 Total International428 373 20,656 18,789 Total Company549 459 38,587 36,170 Financial Condition,Liquidity and Capital ResourcesCash and Investment OverviewOur cash and investments were$3.6 billion as of December 31,2023 and$4.2 billion as of October 1,2023.We a

235、ctively manage our cash and investments inorder to internally fund operating needs,make scheduled interest and principal payments on our borrowings,fund acquisitions,and return cash to shareholdersthrough common stock cash dividend payments and share repurchases.Our investment portfolio primarily in

236、cludes highly liquid available-for-sale securities,including corporate debt securities,government treasury securities(domestic and foreign),and commercial paper,as well as principal-protected structureddeposits.As of December 31,2023,approximately$2.4 billion of cash and short-term investments were

237、held in foreign subsidiaries.Borrowing CapacityRevolving Credit FacilityOur$3.0 billion unsecured five-year revolving credit facility(the“2021 credit facility”),of which$150.0 million may be used for issuances of letters of credit,is currently set to mature on September 16,2026.The 2021 credit facil

238、ity is available for working capital,capital expenditures,and other corporate purposes,including acquisitions and share repurchases.We have the option,subject to negotiation and agreement with the related banks,to increase the maximumcommitment amount by an additional$1.0 billion.Borrowings under th

239、e 2021 credit facility,which was most recently amended in April 2023,will bear interest at a variable rate based on Term SOFR,and,forU.S.dollar-denominated loans under certain circumstances,a Base Rate(as defined in the 2021 credit facility),in each case plus an applicable margin.Theapplicable margi

240、n is based on the Companys long-term credit ratings assigned by the Moodys and Standard&Poors rating agencies.The“Base Rate”is thehighest of(i)the Federal Funds Rate(as defined in the 2021 credit facility)plus 0.500%,(ii)Bank of Americas prime rate,and(iii)Term SOFR plus 1.000%.Term SOFR means the f

241、orward-looking SOFR term rate administrated by the Chicago Mercantile Exchange plus a SOFR Adjustment of 0.100%.The 2021 credit facility contains provisions requiring us to maintain compliance with certain covenants,including a minimum fixed charge coverage ratio,which measures our ability to cover

242、financing expenses.As of December 31,2023,we were in compliance with all applicable covenants.No amounts wereoutstanding under our 2021 credit facility as of December 31,2023 or October 1,2023.Commercial PaperUnder our commercial paper program,we may issue unsecured commercial paper notes up to a ma

243、ximum aggregate amount outstanding at any time of$3.0billion,with individual maturities that may vary but not exceed 397 days from the date of issue.Amounts outstanding under the commercial paper program arerequired to be backstopped by available commitments under our 2021 credit facility.The procee

244、ds from borrowings under our commercial paper program maybe used for working capital needs,capital expenditures,and other corporate purposes,including,but not limited to,business expansion,payment of cashdividends on our common stock,and share repurchases.As of December 31,2023,we had$300.0 million

245、in borrowings32Table of Contentsoutstanding under our commercial paper program.As of October 1,2023,we had no borrowings outstanding under this program.Our total availablecontractual borrowing capacity for general corporate purposes was$2.7 billion as of the end of our first quarter of fiscal 2024.C

246、redit Facilities in JapanAdditionally,we hold the following Japanese yen-denominated credit facilities that are available for working capital needs and capital expenditures within ourJapanese market.A 5.0 billion,or$35.4 million,credit facility is currently set to mature on December 30,2024.Borrowin

247、gs under this credit facility are subject toterms defined within the facility and will bear interest at a variable rate based on TIBOR plus an applicable margin of 0.400%.A 10.0 billion,or$70.7 million,credit facility is currently set to mature on March 27,2024.Borrowings under this credit facility

248、are subject to termsdefined within the facility and will bear interest at a variable rate based on TIBOR plus an applicable margin of 0.300%.As of December 31,2023,we had 7.0 billion,or$49.5 million,of borrowings outstanding under these credit facilities.As of October 1,2023,we had5.0 billion,or$33.

249、5 million,of borrowings outstanding under these credit facilities.See Note 7,Debt,to the consolidated financial statements included in Item 1 of Part I of this 10-Q for details of the components of our long-term debt.Our ability to incur new liens and conduct sale and leaseback transactions on certa

250、in material properties is subject to compliance with terms of the indenturesunder which the long-term notes were issued.As of December 31,2023,we were in compliance with all applicable covenants.Use of CashWe expect to use our available cash and investments,including,but not limited to,additional po

251、tential future borrowings under the credit facilities,commercialpaper program,and the issuance of debt to support and invest in our core businesses,including investing in new ways to serve our customers and supportingour store partners,repaying maturing debts,returning cash to shareholders through c

252、ommon stock cash dividend payments and discretionary share repurchases,and investing in new business opportunities related to our core and developing businesses.Furthermore,we may use our available cash resources to makeproportionate capital contributions to our investees.We may also seek strategic

253、acquisitions to leverage existing capabilities and further build our business.Acquisitions may include increasing our ownership interests in our investees.Any decisions to increase such ownership interests will be driven by valuationand fit with our ownership strategy.We believe that net future cash

254、 flows generated from operations and existing cash and investments both domestically and internationally,combined with ourability to leverage our balance sheet through the issuance of debt,will be sufficient to finance capital requirements for our core businesses as well asshareholder distributions

255、for at least the next 12 months.We are currently not aware of any trends or demands,commitments,events,or uncertainties that willresult in,or that are reasonably likely to result in,our liquidity increasing or decreasing in any material way that will impact our capital needs during or beyondthe next

256、 12 months.We have borrowed funds and continue to believe we have the ability to do so at reasonable interest rates;however,additional borrowingswould result in increased interest expense in the future.In this regard,we may incur additional debt,within targeted levels,as part of our plans to fund ou

257、rcapital programs,including cash returns to shareholders through future dividends and discretionary share repurchases,refinancing debt maturities,as well asinvesting in new business opportunities.If necessary,we may pursue additional sources of financing,including both short-term and long-term borro

258、wings anddebt issuances.We regularly review our cash positions and our determination of partial indefinite reinvestment of foreign earnings.In the event we determine that all oranother portion of such foreign earnings are no longer indefinitely reinvested,we may be subject to additional foreign with

259、holding taxes,which could bematerial.Any foreign earnings that are not indefinitely reinvested may be repatriated at managements discretion.In anticipation of repatriation of current-yearearnings of certain foreign subsidiaries,we accrued approximately$10 million for foreign withholding taxes during

260、 the first quarter of fiscal year 2024.During the first quarter of fiscal 2024,our Board of Directors approved a quarterly cash dividend to shareholders of$0.57 per share to be paid on February 23,2024 to shareholders of record as of the close of business on February 9,2024.During the quarter ended

261、December 31,2023,we repurchased 12.8 million shares of common stock for$1,250.1 million on the open market.As ofDecember 31,2023,29.8 million shares remained available for repurchase under current authorizations.Other than normal operating expenses,cash requirements for the remainder of fiscal 2024

262、are expected to consist primarily of capital expenditures forinvestments in our new and existing stores,our supply chain,and corporate facilities.Total capital expenditures for fiscal 2024 are expected to beapproximately$3.0 billion.33Table of ContentsIn the MD&A included in the 10-K,we disclosed th

263、at we had$33.9 billion of current and long-term material cash requirements as of October 1,2023.Therehave been no material changes to our material cash requirements during the period covered by this 10-Q outside of the normal course of our business.Cash FlowsNet cash provided by operating activities

264、 was$2.4 billion for the first quarter of fiscal 2024,compared to$1.6 billion for the same period in fiscal 2023.Thechange was primarily due to an increase in net cash provided by changes in operating assets and liabilities and higher net earnings during the period.Net cash used in investing activit

265、ies totaled$568.8 million for the first quarter of fiscal 2024,compared to$279.3 million for the same period in fiscal 2023.The change was primarily due to an increase in purchases of investments and higher capital expenditures.Net cash used in financing activities for the first quarter of fiscal 20

266、24 totaled$2.4 billion,compared to$1.0 billion for the same period in fiscal 2023.Thechange was primarily due to an increase in share repurchase activities and repayments of debt,partially offset by proceeds from issuance of commercial paper.Commodity Prices,Availability and General Risk ConditionsC

267、ommodity price risk represents our primary market risk,generated by our purchases of green coffee and dairy products,among other items.We purchase,roast,and sell high-quality arabica coffee and related products,and risk arises from the price volatility of green coffee.In addition to coffee,we also p

268、urchasesignificant amounts of dairy products to support the needs of our company-operated stores.The price and availability of these commodities directly impact ourresults of operations,and we expect commodity prices,particularly coffee,to impact future results of operations.For additional details,s

269、ee Product Supply inItem 1 of the 10-K,as well as Risk Factors in Part I,Item 1A of the 10-K.Seasonality and Quarterly ResultsOur business is subject to moderate seasonal fluctuations,of which our fiscal second quarter typically experiences lower revenues and operating income.Additionally,as Starbuc

270、ks Cards are issued to and loaded by customers during the holiday season,we tend to have higher cash flows from operations duringthe first quarter of the fiscal year.However,since revenues from Starbucks Cards are recognized upon redemption and not when cash is loaded onto theStarbucks Card,the impa

271、ct of seasonal fluctuations on the consolidated statements of earnings is much less pronounced.As a result of moderate seasonalfluctuations,results for any quarter are not necessarily indicative of the results that may be achieved for the full fiscal year.Critical Accounting EstimatesThe preparation

272、 of financial statements and related disclosures in conformity with U.S.generally accepted accounting principles and the Companys discussionand analysis of its financial condition and operating results require the Companys management to make judgments,assumptions,and estimates that affect theamounts

273、 reported.Note 1,Summary of Significant Accounting Policies and Estimates,to the consolidated financial statements included in Item 1 of Part I ofthis 10-Q and in the Notes to Consolidated Financial Statements in Part II,Item 8 of the 10-K describe the significant accounting policies and methods use

274、d inthe preparation of the Companys consolidated financial statements.There have been no material changes to the Companys critical accounting estimates sincethe 10-K.RECENT ACCOUNTING PRONOUNCEMENTSSee Note 1,Summary of Significant Accounting Policies and Estimates,to the consolidated financial stat

275、ements included in Item 1 of Part I of this 10-Q,for adetailed description of recent accounting pronouncements.Item 3.Quantitative and Qualitative Disclosures About Market RiskThere has been no material change in the commodity price risk,foreign currency exchange risk,equity security price risk,or i

276、nterest rate risk discussed inItem 7A of the 10-K.34Table of ContentsItem 4.Controls and ProceduresWe maintain disclosure controls and procedures that are designed to ensure that material information required to be disclosed in our periodic reports filed orsubmitted under the Securities Exchange Act

277、 of 1934,as amended(the“Exchange Act”),is recorded,processed,summarized,and reported within the timeperiods specified in the SECs rules and forms.Our disclosure controls and procedures are also designed to ensure that information required to be disclosed inthe reports we file or submit under the Exc

278、hange Act is accumulated and communicated to our management,including our principal executive officer andprincipal financial officer as appropriate,to allow timely decisions regarding required disclosure.During the first quarter of fiscal 2024,we carried out an evaluation,under the supervision and w

279、ith the participation of our management,including our chiefexecutive officer and our chief financial officer,of the effectiveness of the design and operation of our disclosure controls and procedures,as defined in Rules13a-15(e)and 15d-15(e)under the Exchange Act.Based upon that evaluation,our chief

280、 executive officer and chief financial officer concluded that ourdisclosure controls and procedures were effective,as of the end of the period covered by this report(December 31,2023).There were no changes in our internal control over financial reporting(as defined in Rules 13a-15(f)and 15d-15(f)of

281、the Exchange Act)during our mostrecently completed fiscal quarter that materially affected,or are reasonably likely to materially affect,our internal control over financial reporting.35Table of ContentsPART II OTHER INFORMATIONItem 1.Legal ProceedingsSee Note 13,Commitments and Contingencies,to the

282、consolidated financial statements included in Item 1 of Part I of this 10-Q for information regardingcertain legal proceedings in which we are involved.Item 1A.Risk FactorsIn addition to the other information set forth in this 10-Q,you should carefully consider the risks and uncertainties discussed

283、in Part I,Item 1A.Risk Factors inour 10-K and Part II,Item 1A of this 10-Q.There have been no material changes to the risk factors disclosed in our 10-K.Item 2.Unregistered Sales of Equity Securities and Use of ProceedsInformation regarding repurchases of our common stock during the quarter ended De

284、cember 31,2023:TotalNumber ofSharesPurchasedAveragePricePaid perShareTotal Numberof SharesPurchased asPart of PubliclyAnnouncedPlans orProgramsMaximumNumber ofShares that MayYet BePurchasedUnder the Plansor ProgramsPeriod October 2,2023-October 29,20233,877,436$92.85 3,877,436 38,712,225 October 30,

285、2023-November 26,20234,146,201 101.31 4,146,201 34,566,024 November 27,2023-December 31,20234,754,654 98.86 4,754,654 29,811,370 Total12,778,291$97.83 12,778,291 Monthly information is presented by reference to our fiscal months during the first quarter of fiscal 2024.Share repurchases are conducted

286、 under our ongoing share repurchase program announced in September 2001,which has no expiration date,and for whichthe authorized number of shares has been increased by our Board of Directors numerous times,with our Board of Directors most recently authorizing therepurchase of up to an additional 40

287、million shares in March 2022.This column includes the total number of shares available for repurchase under the Companys ongoing share repurchase program.Shares under ourongoing share repurchase program may be repurchased in open market transactions,including pursuant to a trading plan adopted in ac

288、cordance with Rule10b5-1 of the Exchange Act,or through privately negotiated transactions.The timing,manner,price,and amount of repurchases will be determined at ourdiscretion and the share repurchase program may be suspended,terminated,or modified at any time for any reason.Item 3.Defaults upon Sen

289、ior SecuritiesNone.Item 4.Mine Safety DisclosuresNot applicable.Item 5.Other InformationInsider Adoption or Termination of Trading Arrangements:During the fiscal quarter ended December 31,2023,none of our directors or officers informed us of the adoption or termination of a“Rule 10b5-1 tradingarrang

290、ement”or“non-Rule 10b5-1 trading arrangement,”as those terms are defined in Regulation S-K,Item 408,except as described in the table below:(2)(3)(1)(1)(2)(3)36Table of ContentsName&TitleDate AdoptedCharacter of TradingArrangementAggregate Number of Shares of Common Stock to bePurchased or Sold Pursu

291、ant to Trading ArrangementDurationOther MaterialTermsDate TerminatedRachelRuggeri,executive vicepresident,chieffinancialofficerNovember 28,2023Rule 10b5-1 TradingArrangementUp to$900,000 of shares to be soldPlusUp to 4,979 shares to be soldPlusUp to 2,165 shares to be soldDecember 3,2024N/AN/A Excep

292、t as indicated by footnote,each trading arrangement marked as a“Rule 10b5-1 Trading Arrangement”is intended to satisfy the affirmative defense ofRule 10b5-1(c),as amended(the“Rule”).Ms.Ruggeris trading plan provides for the sale of up to$300,000 of shares pursuant to each of three orders,to be enter

293、ed in March,May,and August 2024,respectively,with such sales subject to a limit price of$80 during the applicable good-until-cancelled period for such order.Ms.Ruggeris trading plan provides for the sale,on November 11,2024,at market price,of up to 4,979 shares to be received by Ms.Ruggeri upon thev

294、esting of performance-based RSUs in November 2024.Ms.Ruggeris trading plan provides for the sale,on November 18,2024,at market price,of up to up to 2,165 shares to be received by Ms.Ruggeri upon thevesting of time-based RSUs in November 2024.Except as indicated by footnote,each trading arrangement p

295、ermitted or permits transactions through and including the earlier to occur of(a)the completionof all purchases or sales or the expiration of all of the orders relating to such trades,or(b)the date listed in the table.The trading arrangement marked as a“Rule 10b5-1 Trading Arrangement”only permits t

296、ransactions upon expiration of the applicable mandatory cooling-off period under the Rule.The arrangement also provides for automatic expiration in the event of Ms.Ruggeris death,bankruptcy,or insolvency,notice from Ms.Ruggeri or her agentof termination of the trading arrangement,or a determination

297、by the broker that the trading arrangement has been terminated or that a breach by Mr.Ruggerihas occurred or upon the brokers exercise of its termination rights under the trading arrangement.(1)(5)(2)(3)(4)(6)(1)(2)(3)(4)(5)(6)37Table of ContentsItem 6.Exhibits Incorporated by Reference ExhibitNo.Ex

298、hibit DescriptionFormFile No.Date ofFilingExhibitNumberFiledHerewith3.1Restated Articles of Incorporation of Starbucks Corporation10-Q000-203224/28/20153.13.2Amended and Restated Bylaws of Starbucks Corporation(Asamended and restated through March 17,2021)8-K000-203223/19/20213.131.1Certification of

299、 Principal Executive Officer Pursuant to Rule 13a-14(a)of the Securities Exchange Act of 1934,as Adopted Pursuantto Section 302 of the Sarbanes-Oxley Act of 2002X31.2Certification of Principal Financial Officer Pursuant to Rule 13a-14(a)of the Securities Exchange Act of 1934,as Adopted Pursuantto Se

300、ction 302 of the Sarbanes-Oxley Act of 2002X32*Certifications of Principal Executive Officer and Principal FinancialOfficer Pursuant to 18 U.S.C.Section 1350,as Adopted Pursuant toSection 906 of the Sarbanes-Oxley Act of 2002101The following financial statements from the Companys 10-Q forthe fiscal

301、quarter ended December 31,2023,formatted in iXBRL:(i)Consolidated Statements of Earnings,(ii)ConsolidatedStatements of Comprehensive Income,(iii)Consolidated BalanceSheets,(iv)Consolidated Statements of Cash Flows,(v)Consolidated Statements of Equity,and(vi)Notes to ConsolidatedFinancial StatementsX

302、104Cover Page Interactive Data File(formatted in iXBRL andcontained in Exhibit 101)X*Furnished herewith.38Table of ContentsSIGNATURESPursuant to the requirements of the Securities Exchange Act of 1934,the registrant has duly caused this report to be signed on its behalf by the undersignedthereunto d

303、uly authorized.January 30,2024 STARBUCKS CORPORATIONBy:/s/Rachel RuggeriRachel Ruggeriexecutive vice president,chief financial officerSigning on behalf of the registrant and asprincipal financial officer39Exhibit 31.1CERTIFICATION PURSUANT TO RULE 13a-14(a)OF THE SECURITIES EXCHANGE ACT OF 1934AS AD

304、OPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002I,Laxman Narasimhan,certify that:1.I have reviewed this Quarterly Report on Form 10-Q for the fiscal quarter ended December 31,2023,of Starbucks Corporation;2.Based on my knowledge,this report does not contain any untrue statement of a m

305、aterial fact or omit to state a material fact necessary to make thestatements made,in light of the circumstances under which such statements were made,not misleading with respect to the period covered by thisreport;3.Based on my knowledge,the financial statements,and other financial information incl

306、uded in this report,fairly present in all material respects thefinancial condition,results of operations and cash flows of the registrant as of,and for,the periods presented in this report;4.The registrants other certifying officer and I are responsible for establishing and maintaining disclosure co

307、ntrols and procedures(as defined inExchange Act Rules 13a-15(e)and 15d-15(e)and internal control over financial reporting(as defined in Exchange Act Rules 13a-15(f)and 15d-15(f)for the registrant and have:(a)Designed such disclosure controls and procedures,or caused such disclosure controls and proc

308、edures to be designed under our supervision,toensure that material information relating to the registrant,including its consolidated subsidiaries,is made known to us by others within thoseentities,particularly during the period in which this report is being prepared;(b)Designed such internal control

309、 over financial reporting,or caused such internal control over financial reporting to be designed under oursupervision,to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements forexternal purposes in accordance with generally accept

310、ed accounting principles;(c)Evaluated the effectiveness of the registrants disclosure controls and procedures and presented in this report our conclusions about theeffectiveness of the disclosure controls and procedures,as of the end of the period covered by this report based on such evaluation;and(

311、d)Disclosed in this report any change in the registrants internal control over financial reporting that occurred during the registrants most recentfiscal quarter(the registrants fourth fiscal quarter in the case of an annual report)that has materially affected,or is reasonably likely tomaterially af

312、fect,the registrants internal control over financial reporting;and5.The registrants other certifying officer and I have disclosed,based on our most recent evaluation of internal control over financial reporting,to theregistrants auditors and the audit committee of the registrants board of directors(

313、or persons performing the equivalent functions):(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which arereasonably likely to adversely affect the registrants ability to record,process,summarize and report financial info

314、rmation;and(b)Any fraud,whether or not material,that involves management or other employees who have a significant role in the registrants internalcontrol over financial reporting.Date:January 30,2024/s/Laxman NarasimhanLaxman Narasimhanchief executive officerExhibit 31.2CERTIFICATION PURSUANT TO RU

315、LE 13a-14(a)OF THE SECURITIES EXCHANGE ACT OF 1934AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002I,Rachel Ruggeri,certify that:1.I have reviewed this Quarterly Report on Form 10-Q for the fiscal quarter ended December 31,2023,of Starbucks Corporation;2.Based on my knowledge,this

316、 report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make thestatements made,in light of the circumstances under which such statements were made,not misleading with respect to the period covered by thisreport;3.Based on my knowledge,the finan

317、cial statements,and other financial information included in this report,fairly present in all material respects thefinancial condition,results of operations and cash flows of the registrant as of,and for,the periods presented in this report;4.The registrants other certifying officer and I are respon

318、sible for establishing and maintaining disclosure controls and procedures(as defined inExchange Act Rules 13a-15(e)and 15d-15(e)and internal control over financial reporting(as defined in Exchange Act Rules 13a-15(f)and 15d-15(f)for the registrant and have:(a)Designed such disclosure controls and pr

319、ocedures,or caused such disclosure controls and procedures to be designed under our supervision,toensure that material information relating to the registrant,including its consolidated subsidiaries,is made known to us by others within thoseentities,particularly during the period in which this report

320、 is being prepared;(b)Designed such internal control over financial reporting,or caused such internal control over financial reporting to be designed under oursupervision,to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements fore

321、xternal purposes in accordance with generally accepted accounting principles;(c)Evaluated the effectiveness of the registrants disclosure controls and procedures and presented in this report our conclusions about theeffectiveness of the disclosure controls and procedures,as of the end of the period

322、covered by this report based on such evaluation;and(d)Disclosed in this report any change in the registrants internal control over financial reporting that occurred during the registrants most recentfiscal quarter(the registrants fourth fiscal quarter in the case of an annual report)that has materia

323、lly affected,or is reasonably likely tomaterially affect,the registrants internal control over financial reporting;and5.The registrants other certifying officer and I have disclosed,based on our most recent evaluation of internal control over financial reporting,to theregistrants auditors and the au

324、dit committee of the registrants board of directors(or persons performing the equivalent functions):(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which arereasonably likely to adversely affect the registrants ability t

325、o record,process,summarize and report financial information;and(b)Any fraud,whether or not material,that involves management or other employees who have a significant role in the registrants internalcontrol over financial reporting.Date:January 30,2024/s/Rachel RuggeriRachel Ruggeriexecutive vice pr

326、esident,chief financial officerExhibit 32CERTIFICATIONS PURSUANT TO 18 U.S.C.SECTION 1350AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002In connection with the Quarterly Report of Starbucks Corporation(“Starbucks”)on Form 10-Q for the fiscal quarter ended December 31,2023,as file

327、d withthe Securities and Exchange Commission on January 30,2024(the“Report”),Laxman Narasimhan,chief executive officer of Starbucks,and Rachel Ruggeri,executive vice president,chief financial officer of Starbucks,each hereby certifies,pursuant to 18 U.S.C.Section 1350,as adopted pursuant to Section

328、906 ofthe Sarbanes-Oxley Act of 2002,that,to their knowledge:(1)the Report fully complies with the requirements of Section 13(a)or 15(d)of the Securities Exchange Act of 1934;and(2)the information contained in the Report fairly presents,in all material respects,the financial condition and results of operations of Starbucks.January 30,2024/s/Laxman NarasimhanLaxman Narasimhanchief executive officerJanuary 30,2024/s/Rachel RuggeriRachel Ruggeriexecutive vice president,chief financial officer