SEATTLE (dpa-AFX) - Starbucks (SBUX) said its preliminary estimates for third quarter non-GAAP loss per share is in a range of approximately $0.55 to $0.70. Analysts polled by Thomson Reuters expect the company to report a loss per share of $0.16, for the quarter. Analysts' estimates typically exclude special items. The company estimates third quarter consolidated revenue decline attributable to COVID-19 to be approximately $3.0 billion to $3.2 billion, and the operating income decline to be approximately $2.0 billion to $2.2 billion, representing a flow-through rate of approximately 65% to 70% on lost sales.
The company's preliminary expectation is that non-GAAP earnings per share will improve sequentially in fourth quarter, ranging between approximately $0.15 and $0.40. For fiscal 2020, the company projects non-GAAP earnings per share of approximately $0.55 to $0.95.
The company said the vast majority of Starbucks company-operated stores in both the Americas and International segments were re-opened by the end of May. With the progress to date in China, the company continues to believe that comparable store sales will substantially recover by the end of the fourth quarter.
Shares of Starbucks were down 3% in pre-market trade on Wednesday.
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