Starbucks Corp. (NASDAQ:SBUX)

The annual financial data reveals significant fluctuations and trends in key performance indicators over the analyzed periods.

Net Operating Profit After Taxes (NOPAT)

NOPAT exhibited notable volatility, starting at approximately 1.48 billion in 2020, escalating sharply to around 4.63 billion in 2021, followed by a decline to roughly 3.73 billion in 2022. It rebounded to about 4.60 billion in 2023 and slightly decreased to 4.41 billion in 2024, before experiencing a steep drop to 2.45 billion in 2025. This pattern indicates periods of strong profitability interspersed with declines, with the most recent year showing a considerable reduction compared to preceding years.

Invested Capital

Invested capital demonstrated moderate growth and variability. It started near 22.97 billion in 2020, increased modestly to 23.68 billion in 2021, before declining to 20.46 billion in 2022. Subsequently, there was a gradual rise through 2023 and 2024 to reach approximately 24.01 billion in 2025. The decreases and recoveries in invested capital suggest adjustments in asset base or capital structure over the period.

Return on Invested Capital (ROIC)

ROIC showed significant fluctuations, beginning at 6.42% in 2020, surging to 19.53% in 2021, and sustaining high levels near 18-21% through 2022 to 2024. However, in 2025, ROIC declined sharply to 10.22%. The elevated ROIC values during the middle years indicate improved efficiency and profitability relative to invested capital, while the recent decrease suggests challenges in generating returns at previous levels.

Overall, the data illustrates a pattern of initial growth in profitability and returns on capital, peaking between 2021 and 2024, followed by a notable downturn in 2025. Invested capital showed more stability with gradual increases after a dip in 2022. The recent decline in both NOPAT and ROIC may warrant further investigation into operational efficiency, cost management, or market conditions affecting performance.

The financial indicators display notable fluctuations over the observed periods, reflecting variable operational efficiency, capital usage, tax impact, and overall investment returns.

Operating Profit Margin (OPM)

The operating profit margin exhibited a significant increase from 7.99% in 2020 to a peak of 20.82% in 2021, indicating enhanced profitability in that year. However, this margin declined sharply to 14.97% in 2022, followed by a partial recovery to 17.05% in 2023. Subsequently, a downward trend is observed with margins decreasing to 16.12% in 2024 and further declining to 8.94% by 2025. This pattern suggests volatility in operating profitability, with a notable decline in the most recent year.

Turnover of Capital (TO)

The turnover of capital ratio shows steady improvement from 1.03 in 2020 through 1.23 in 2021, reaching a high of 1.62 in 2023. Thereafter, this ratio slightly decreased to 1.54 in both 2024 and 2025, yet remains at a higher level compared to the initial years. The overall trend indicates improved efficiency in using capital to generate revenue up to 2023, followed by a stabilization at a strong level.

Effective Cash Tax Rate (CTR) Impact (1 – CTR)

This measure, representing the proportion of pre-tax income retained after cash taxes, decreased gradually from 78.43% in 2020 to 74.08% in 2025. The consistent slight decline suggests an increasing tax burden or reduced tax efficiency over time, which could negatively influence net profitability.

Return on Invested Capital (ROIC)

The ROIC saw a substantial rise from 6.42% in 2020 to 19.53% in 2021, maintaining a relatively high level through 2023 with a summit at 20.76%. Afterwards, it declined to 18.74% in 2024 and dropped significantly to 10.22% in 2025. This trend implies that the company enhanced its returns on invested capital considerably in the early years but faced a decreasing ability to generate returns from its investments in the recent period.

In summary, the operational profitability and investment returns improved markedly up to 2021, followed by periods of volatility and decline, especially apparent in the latest year. Capital turnover rates show a steady increase and stabilization, suggesting improved asset utilization. Meanwhile, the decreasing post-tax income ratio points to increasing tax pressures. The combination of these factors indicates a complex financial environment with operational challenges potentially impacting profitability and returns on investment in the most recent period.

The financial data for the analyzed periods reveals notable fluctuations in profitability metrics and revenue growth.

Net Operating Profit Before Taxes (NOPBT)

NOPBT showed a significant increase from approximately 1.88 billion US dollars in 2020 to a peak of about 6.05 billion US dollars in 2021. This was followed by a decline over subsequent years, reaching roughly 3.31 billion US dollars by 2025. This pattern indicates a period of strong profit growth initially, with diminishing profitability in later years.

Adjusted Net Revenues

Adjusted net revenues exhibited consistent growth across all periods, increasing from around 23.56 billion US dollars in 2020 to approximately 37.05 billion US dollars by 2025. This steady rise suggests ongoing business expansion or increased sales volume despite fluctuations in profitability.

Operating Profit Margin (OPM)

The operating profit margin demonstrated considerable variability. It increased sharply from 7.99% in 2020 to a high of 20.82% in 2021, then declined to 14.97% in 2022. Margins recovered somewhat in 2023 and 2024, registering 17.05% and 16.12%, respectively, before dropping to 8.94% in 2025. This volatility in operating efficiency and cost management could reflect changes in operational costs, pricing strategies, or market conditions.

In summary, while revenue growth has been steady and positive, profitability metrics such as NOPBT and OPM indicate a peak around 2021, followed by decreasing returns and margin contractions in later years. These trends may warrant further examination into cost structures, competitive pressures, or broader economic factors affecting profitability.

The financial data reflects several notable trends in the company’s operational and capital efficiency over the observed periods.

Adjusted Net Revenues

There is a consistent upward trend in adjusted net revenues, increasing from 23,559,600 thousand US dollars in 2020 to 37,052,800 thousand US dollars in 2025. This steady revenue growth indicates a positive sales performance and market demand expansion over the years.

Invested Capital

Invested capital shows some fluctuations, beginning at 22,970,900 thousand US dollars in 2020, peaking at 23,683,800 thousand US dollars in 2021, then dipping to 20,459,700 thousand US dollars in 2022. Subsequently, it increases again, reaching 24,013,900 thousand US dollars by 2025. This pattern suggests periods of capital reduction followed by reinvestment or asset accumulation.

Turnover of Capital (TO)

The turnover of capital ratio improves significantly from 1.03 in 2020 to a peak of 1.62 in 2023, indicating enhanced efficiency in utilizing invested capital to generate revenues. Although it slightly decreases to 1.54 in 2024 and remains stable in 2025, the ratio remains considerably higher than at the initial period, reflecting sustained capital productivity.

Overall, the company demonstrates robust revenue growth accompanied by improved capital turnover. The fluctuations in invested capital suggest strategic adjustments in asset management, while the relatively stable and high turnover ratio in the latter years implies effective usage of capital to support increased revenues.

The financial data reveals notable fluctuations in key operational and tax-related figures over the observed periods. Cash operating taxes have exhibited considerable variability, with an initial value of 405,721 thousand US dollars in 2020, followed by a sharp increase surpassing one million thousand US dollars in several subsequent years. The highest recorded value occurred in 2023 at approximately 1,512,061 thousand US dollars, after which a declining trend is observed, reaching 858,305 thousand US dollars in 2025.

Net operating profit before taxes (NOPBT) shows significant volatility as well. Starting from 1,881,263 thousand US dollars in 2020, it experienced a substantial increase in 2021 to over 6 million thousand US dollars. However, this figure slightly decreased in 2022 before rising again in 2023. Post-2023, there is a marked decline to approximately 3.3 million thousand US dollars by 2025. This pattern suggests variability in operational profitability, with a notable downward trajectory in the latest period.

The effective cash tax rate (CTR) has been relatively stable but presents a gradual upward trend over the years. Beginning at 21.57% in 2020, the rate increased modestly to around 23.58% in 2021 and reached over 25% by 2025. This gradual increase in the tax rate despite fluctuations in profit and tax payments indicates changes in tax obligations or operational conditions influencing tax efficiency.

Cash Operating Taxes

Experienced a sharp increase between 2020 and 2021, reaching a peak in 2023, then declined significantly by 2025.

Net Operating Profit Before Taxes (NOPBT)

Displayed strong growth through 2021 and 2023, followed by a pronounced decrease by 2025.

Effective Cash Tax Rate (CTR)

Showed a steady rise, indicating an increasing tax burden relative to taxable income across the periods analyzed.

Overall, the data suggests that despite variations in profitability and cash tax payments, the company experienced an upward trend in tax rates, which may have impacted net profitability in the latest fiscal years. The decline in profitability after 2023 warrants attention to operational and financial strategies to address the causes of this trend.