Starbucks has reported a significant 22% year-on-year sales increase in the UK for the 12 months ending 1 October 2023, reaching £547.7m ($693m).
The company's gross profit also saw a 15% rise to £149m ($188.5m).
This growth is attributed to a strong loyalty membership increase in the UK, now at 1.2 million members, and a surge in cold beverage orders.
The UK remains Starbucks' largest market in Europe, the Middle East and Africa (the EMEA region), where the coffee giant posted a 31% sales increase in 2023 to $425.4m.
This growth was driven by new store openings, with EMEA gross profit up by 37% to $321.7m and operating profit soaring by 72% to $125.5m.
Starbucks also achieved a target set in March 2023 to open 100 new UK stores within the next financial year.
Following significant investment in its drive-through network, the company ended the period with 1,168 UK stores and has since expanded to 1,260 outlets nationwide.
Starbucks has announced plans to open another 100 stores, focusing on drive-through and high-footfall city centre locations. It currently operates 340 drive-through sites in the UK.
In March 2024, Starbucks appointed Darren King as UK store development director. King, a commercial and real estate specialist, will lead the acquisition, design and construction departments in the company's ongoing expansion.
Starbucks' EMEA expansion efforts are expected to be led by the brand's licensing partners Alshaya Group and Alsea.
Alshaya Group CEO John Hadden announced in October 2023 plans to open 250 net new Starbucks outlets annually with a target of 3,000 by 2028, an increase from the current 2,000. The Alshaya Group operates stores in multiple Middle Eastern countries.
Alsea, based in Mexico City, operates 576 Starbucks stores across several European countries.
In March 2024, Alsea allocated 25% of a planned €329m ($356m) investment for expanding its European outlet presence.
Starbucks Europe, Middle East and Africa (EMEA) president Duncan Moir said: “We are pleased to have met our new store opening commitments during the year, opening more than 100 new stores in the UK.
“While we continue to navigate challenging market conditions, we are excited to work alongside our partners to continue growing our footprint in the region.”
