Get ready for lots more pumpkin spice lattes.
Starbucks announced plans to add just under 15,000 locations as it continues its international expansion. The coffee chain already has around 20,200 cafes outside the United States. By 2030, it expects that number to be closer to 35,000. Additionally, it plans to open 2,000 additional locations in the United States, it said.
“In the near term, three out of four new stores are expected to be opened outside the United States as our store portfolio becomes increasingly international,” said Michael Conway, president of the company’s international and channel development divisions. Starbucks. during a company presentation.
The news follows stellar results from Starbucks, where the company saw quarterly sales jump 11.4% to $9.37 billion and adjusted earnings rise to $1.06 per share (far exceeding analyst estimates at 97 cents).
The company’s shares were up slightly Friday morning.
News of the expansion came with the chain’s promise to cut costs by $3 billion. A third of this will come from improving store efficiency. The remaining $2 billion will come from cost-of-goods savings.
It’s all part of Starbucks’ “reinvention plan,” first revealed last September. This initiative was intended to make things simpler for baristas, as customers place more complicated orders and expect the same speed of service.
The expansion comes as Starbucks continues to face labor problems, with the union organizing its workers. The company was accused of “blatant” anti-union activity by a judge of the United States National Labor Relations Board. Workers are pushing for better benefits and higher payas well as 5% annual increases and seniority bonuses.