Starbucks sees up to $2.2 bn hit to 3rd quarter income due to Covid-19

Starbucks projected an adjusted loss of about 55 cents to 70 cents per share for its third-quarter ending in June, and said it expects US same-store sales to drop by up to 45%

Starbucks Corp said on Wednesday it expected current-quarter operating income to plunge by up to $2.2 billion, with sales declines for the rest of the year even as stores reopen following easing of coronavirus lockdowns.

The world's largest coffee chain said it would permanently close about 400 stores in the Americas over the next 18 months and would cut the number of planned new store openings by half, to about 300 this fiscal year.

The company's shares fell over 2 per cent in premarket trading.

Starbucks projected an adjusted loss of about 55 cents to 70 cents per share for