Starbucks profits rise

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Starbucks has reported a higher quarterly profit as new food and drinks helped boost sales in the US.

The Seattle-based coffee chain raised its guidance for the year, citing the stronger performance.

Globally, Starbucks said sales at established locations rose six per cent for the quarter. That included a seven per cent increase in the flagship US market, as well as a seven per cent increase in the Asia region. The unit encompassing Europe, the Middle East and Africa saw a three per cent increase.

For the quarter, Starbucks Corp earned $US512.6 million ($A554.61 million), or 67 US cents per share, a penny more than analysts expected.

A year ago, it earned $US417.8 million, or 55 US cents per share.

Revenue rose to $US4.15 billion, above the $US4.14 billion Wall Street expected, according to FactSet.

Source Insideretail

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