Starbucks Profit Rises 18% on Stores, Higher Prices

By Mary Jane Credeur

Jan. 31 (Bloomberg) -- Starbucks Corp., the world's largest coffee-shop chain, said first-quarter profit rose 18 percent as the company raised prices and opened more stores.

Net income increased to $205 million, or 26 cents a share, from $174.2 million, or 22 cents, a year earlier. Sales in the three months ended Dec. 31 rose 22 percent to $2.36 billion.

Sales at locations open at least 13 months rose 6 percent, the company said today, helped by the sale of holiday drinks. Starbucks, which opened a record 728 stores during the quarter, in October increased prices by about 5 cents a cup to counter higher coffee and store-operating costs.

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