Starbucks’ sales decline slowed in the second quarter, which management said was the result of the ongoing turnaround efforts.

The company’s global comparable sales decreased 1 per cent during the 13 weeks ended March 30, driven by a 2 per cent decline in comparable transactions, partially offset by a 1 per cent increase in average ticket.

This was considered an improvement compared to the 4 per cent decline in the first quarter. 

North American comparable store sales declined 1 per cent, with the US market falling 2 per cent. International comparable store sales increased 2 per cent, including flat results in China.

Consolidated net revenues rose 2 per cent to $8.8 billion (up 3 per cent on a constant currency basis). 

“My optimism has turned into confidence that our ‘Back to Starbucks’ plan is the right strategy to turn the business around and to unlock opportunities ahead,” commented chairman and CEO Brian Niccol.

“Improving transaction comp in a tough consumer environment at our scale is a testament to the power of our brand and partners getting ‘Back to Starbucks’. We are on track and if anything, I see more opportunities than I imagined.”

On the bottom line, operating income dropped 35 per cent to $601 million and attributable net earnings fell 50 per cent to $384 million.

In February, the company announced the reduction of 1100 support partner roles and several hundred additional open and unfilled positions within its global support organization to help deliver the “Back to Starbucks” plan and position the company for future success.

In March, the company appointed Cathy Smith as CFO, replacing Rachel Ruggeri.

Starbucks opened 213 net new stores in the second quarter, ending the period with 40,789 stores, with 53 per cent company-operated and 47 per cent licensed.