Pandora and Starbucks released the earnings results from their most recently completed quarter after closing bell tonight.
Pandora reported losses of 23 cents per share on $230.8 million in revenue. Analysts had been expecting the radio streaming company to report net losses of 16 cents per share on $224.56 million in revenue for its first fiscal quarter. In the same quarter a year ago, Pandora Media reported net losses of 13 cents per share on $180.13 million in revenue.
Starbucks reported adjusted earnings of 33 cents per share on $4.6 billion in revenue. Analysts had been expecting the coffee giant to report earnings of 33 cents per share on $4.52 billion in revenue for its second fiscal quarter. In the same quarter last year, Starbucks posted earnings of 28 cents per share on $3.9 billion in revenue.
Key metrics from Pandora’s earnings report
Pandora reported ad revenue of $178.8 million, a 27% increase from last year. Mobile revenue increased 23% to $181.1 million on a GAAP basis. Local ad revenue increased 67% to $43.3 million, while total listener hours increased 11% to 5.3 billion. Adjusted EBITDA was a loss of $20.9 million, an improvement of 7% compared to last year.
Pandora guided for revenue of between $280 million and $285 million for the second quarter. The company expects between $8 million and $13 million in adjusted EBITDA. For the full year, the company expects revenue of between $1.16 billion and $1.18 billion. Pandora projects adjusted EBITDA of between $75 million and $85 million for the full year.
Key metrics from Starbucks’ earnings report
Starbucks reported a 7% increase in global comparable store sales and a 3% traffic increase. In the Americas, comparable sales increased 7%, while traffic increased 2%. The coffee chain’s operating income grew 21% to $777.5 million. Revenues from channel development increased 16% to $428 million for the quarter. Starbucks opened 210 new stores during the quarter.
Management reaffirmed their guidance of revenue growth of between 16% and 18% and comparable store sales growth in the mid-single digits. They continue to expect 1,650 net new store openings, with 600 in the Americas and 20 in Europe, the Middle East, and Africa, and 850 in China and the Asia Pacific region.
Starbucks expects full year GAAP earnings of $1.77 to $1.79 per share for the full year and third quarter GAAP earnings of between 39 cents and 40 cents per share. They expect non-GAAP earnings of $1.55 to $1.57 per share for the full year and 40 cents to 41 cents per share in the third fiscal quarter.
