Food Business News - May 3, 2016 - (Page 16)

Starbucks sets forth single-serve strategy Research shows that consumers want foods that are minimally processed and made with familiar ingredients. In response to this trend, we have created a plant-based PEA PROTEIN CREAMER JERZEE 50 SUNFLOWER HP CL * Clean Label * PHO-Free * High Protein * No dairy or soy protein allergens * Suitable for vegan applications Call us today to discuss Clean Label solutions for your business! SensoryEffects.com Toll-Free: 800.422.5444 Follow us: 16 FOODBUSINESSNEWS ® SEATTLE - Starbucks Corp. is doubling down on single-serve. In addition to inking a new agreement with Keurig Green Mountain, Inc. to sell K-Cups in more channels in North America, the Seattle-based company plans to launch branded pods for Nestle S.A.'s Nespresso machines in international markets later this year. "For years, customers have been asking us to produce Starbucks-branded Nespresso-compatible capsules so they could machines at home, Mr. Schultz said. "Beyond Europe, the big size of the prize is going to be in (China/Asia Pacific), and more importantly in China," said John Culver, group president of China/Asia Pacific, Channel Development and Emerging Brands. Starbucks has the leading U.S. market share of premium single-serve on the KCup platform, and the company expanded its market-share position during the quarter. This year, Starbucks expects to sell approximately 1.5 billion K-Cups, up nearly 20% over last year and representing multiples of K-Cup category growth overall, Mr. Schultz said. For the second quarter ended March 27, Starbucks net earnings were $575.1 million, equal to 39c per share, up 16% from $494.9 million, or 33c per share, for the prior-year period. Net revenues totaled $4,993.2 million, up more than 9% from year-ago revenues of $4,563.5 million. "In Q2, Starbucks' powerful 24,000-store Revenue distribution of Starbucks from 2009 to 2015 in billions Other Food $0.89 $0.97 $1.68 Packaged and single-serve coffee and tea Beverage $1.71 $1.02 $1.37 $2.17 $0.95 $2.00 $1.45 $2.42 $1.13 $2.09 $2.01 $1.88 $6.24 2009 $6.75 2010 $7.22 2011 $7.84 2012 $8.59 2013 $2.34 $2.11 $2.62 $2.37 $2.51 $3.09 $9.46 2014 $11.12 2015 Source: Starbucks Corp. enjoy Starbucks quality in Nespresso varietals through their Nespresso machines, just as they do through their K-Cup brewers in North America," Howard Schultz, chairman and chief executive officer of Starbucks, said during an April 21 earnings call with financial analysts. "We could not satisfy that demand because we had not yet cracked the code on roasting, grinding and packing Starbucks coffee in order to deliver Starbucks quality in a cup through a Starbucks-designed Nespresso-compatible capsule, but now we have." Beginning this fall, Starbucks will offer single-serve capsules for Nespresso machines in Europe, where, in some countries, single-serve represents more than 40% of all coffee consumed and where half of Starbucks' customers own Nespresso global retail operation again drove record financial and operating performance, including record revenues, record profits, a 7% increase in comp-store sales in the U.S., a 6% increase in comp-store sales globally, our 25th consecutive quarter of compstore growth at or above 5%, and a stunning increase of 5% in transaction growth and 18% in revenue growth in China," Mr. Schultz said. "And we remain on plan to end fiscal 2016 with approximately 25,000 stores globally." For the six months ended March 27, Starbucks net earnings were $1,262.6 million, or 84c per share, down nearly 15% from $1,478.3 million, or 97c per share, for the same period of the previous year. Total revenues climbed nearly 11% to $10,366.8 million from $9,366.8 million. FBN May 3, 2016 http://www.SensoryEffects.com https://www.facebook.com/pages/SensoryEffects/288667694490369 https://www.linkedin.com/company/savoury-systems-international http://http://

Table of Contents for the Digital Edition of Food Business News - May 3, 2016

Food Business News - May 3, 2016
Dr Pepper pivoting with the consumer
New front opens in the battle over sodium
Beverage Business News - Beverage makers capitalizing on dairy
Table of Contents
Web Contents
Editorial - Vermont’s immediate impact is becoming clearer
Three meals a day still the American way
Mondelez battling weakness in biscuit market
Pinnacle picks Mondelez exec as new c.e.o.
Chipotle Mexican Grill in the midst of a slow recovery
Hormel sells Diamond Crystal Brands
Starbucks sets forth single-serve strategy
PepsiCo initiating transformational innovation agenda
McCormick acquires Australian herbs company
Costco eyes Nebraska for new poultry plant
Hershey still seeking answers to slow growth
Nestle, R&R to create world’s third largest ice cream company
Saputo details succession plan for presidency
Papa John’s removes HFCS from menu
Danone building strength in yogurt
Dannon to go non-G.M.O.
Taco Bell to limit antibiotics in chicken
Dr. Praeger’s focused on keeping brand fresh
PepsiCo appoints new global food service leader
NatureBox moves from snail mail to retail
Market Insight - The good and bad of El Nino, La Nina
Ingredient Trends - Clean label gains momentum
Food packaging and clean label
Ingredient Innovations - Red means go in color innovation
Correction
Specialty dairy ingredients used in beverages
New Food Products
Ingredient Market Trends - I.G.C. forecasts world wheat stocks at new record in 2016-17
Ingredient Markets
Supplier Innovations and News
Classifieds
Marketplace
Ad Index
Food Business in the News

Food Business News - May 3, 2016

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