Starbucks Corp. jumped in late trading after Chief Financial Officer Rachel Ruggeri boosted the coffee giant’s outlook for sales and profit over the next three years as rapid expansion and an expected recovery in China boost performance.
The company now sees earnings per share, excluding some items, rising 15% to 20% in each of the next three fiscal years. Comparable sales -- a key metric for the restaurant industry -- are seen rising to 7% to 9%. Both forecasts are significantly higher than the previous views. Starbucks also plans to return $20 billion to shareholders over the next three years.