Starbucks continues to grow its global footprint in 2025, adding 213 net new stores in the second fiscal quarter and bringing its total to over 40,700 locations worldwide. The company is emphasizing international expansion, particularly in emerging markets, as part of its long-term growth strategy. However, recent financial results reflect some softening in consumer demand. In Q2 2025, global comparable store sales declined by 1%, driven by a 2% drop in transaction volume, slightly offset by a 1% increase in average ticket size. Operating income also declined, falling to $748.3 million from $1.1 billion year-over-year. Additionally, several underperforming U.S. locations were closed in early 2025 as part of an ongoing portfolio review.
For net lease investors, Starbucks remains a top-tier tenant with strong brand recognition and a proven track record of innovation and adaptability. While short-term sales dips and selective closures may raise questions, the company’s ongoing investment in store upgrades, digital engagement, and global expansion signals long-term confidence. Investors should focus on newer drive-thru-equipped stores in growing suburban markets, as well as urban infill locations with strong foot traffic and high daytime population. Leases with corporate guarantees and fixed rent escalations continue to make Starbucks a desirable anchor for NNN portfolios, offering both stability and upside over time.