Starbucks Corp. has closed more than 2,000 locations in mainland China because of a viral outbreak that has killed more than 100 people and disrupted daily life in the coffee chain’s most important growth market. China and the U.S. are the most important markets for Starbucks as the Seattle-based chain seeks to recapture its rapid growth of past years. AdvertisementThe coronavirus, of course, will be the wild card in whether Starbucks can maintain its pace. Starbucks said it couldn’t “reasonably” estimate the impact of the coronavirus, but expects the outbreak to “materially affect” fiscal second-quarter and full-year results. While higher sales and supply-chain savings helped, the company is still facing higher wage and employee benefits costs.

Source: Los Angeles Times January 28, 2020 23:38 UTC