Starbucks Corporation (NASDAQ:SBUX) Q4 2019 Earnings Conference Call - Final Transcript

Oct 30, 2019 • 05:00 pm ET


Starbucks Corporation (NASDAQ:SBUX) Q4 2019 Earnings Conference Call - Final Transcript


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Good afternoon. My name is Hector, and I will be your conference operator today. I would like to welcome everyone to Starbucks Coffee Company's Fourth Quarter and Fiscal Year 2019 Conference Call. [Operator Instructions]

I will now turn the call over to Durga Doraisamy, Vice President of Investor Relations. Ms. Doraisamy, you may now begin your conference.

Durga Doraisamy

Good afternoon, everyone, and thank you for joining us today to discuss our fourth quarter and fiscal year 2019 results. Today's discussion will be led by Kevin Johnson, President and CEO; and Pat Grismer, CFO; and for Q&A, we will be joined by Roz Brewer, Chief Operating Officer and Group President Americas; John Culver, Group President, International Channel Development and Global Coffee & Tea.

This conference call will include forward-looking statements, which are subject to various risks and uncertainties that could cause our actual results to differ materially from these statements. Any such statements should be considered in conjunction with cautionary statements in our earnings release and risk factor discussions in our filings with the SEC, including our last Annual Report on Form 10-K. Starbucks assumes no obligation to update any of these forward-looking statements or information.

GAAP Results in fiscal 2019 include several items related to strategic actions, including restructuring and impairment charges, transaction and integration costs and other items. These items are excluded from our non-GAAP results. Please refer to our website at to find the reconciliation of certain non-GAAP financial measures referenced in today's call with their corresponding GAAP measures.

Additionally, as previously announced, restated GAAP and non-GAAP quarterly financial information for fiscal 2018 and through Q3 fiscal 2019 reflecting our realigned operating segment reporting structure and reclassification of certain costs can also be accessed on our Investor Relations website.

I would like to note that during today's call, we will be providing select presentation materials, which can be accessed via the webcast of this call and on our IR website at the conclusion of the call. An archive of the webcast will be available on our website through Thursday, November 28, 2019.

Finally, for your calendar planning purposes, please note that our first quarter fiscal year 2020 earnings conference call has been tentatively scheduled for Tuesday, January 28, 2020.

I will now turn the call over to Kevin.

Kevin Johnson

Well, good afternoon and welcome. As part of my ongoing visits to Starbucks stores around the world, I'm joining today's call from Tokyo. On this particular trip, John Culver and I are joined by Nestle Senior Executives to discuss our collective strategy for growth and review the great progress our teams have made implementing Global Coffee Alliance. Today, I'm pleased to share that Starbucks delivered strong operating results again in Q4, capping off a transformative year for the Company as we continue to execute our Growth at Scale agenda with focus and discipline.

Pat will review our financial results in more detail later in the call. But I'll start by sharing performance highlights for the quarter and the year, as well