Starbucks Coffee Korea forecast to post record-high operating profit
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Starbucks Korea’s annual operating profit soared past 100 billion won (US$94 million) for the first time last year, despite intense competition in the domestic cafe sector.
Industry sources told Yonhap news service the record result was driven by solid demand from young consumers.
The operating profit of the coffee chain, which is run by South Korean retail conglomerate Shinsegae, was estimated at 110 billion won last year, according to the sources. Sales were estimated to have reached 1.2 trillion won (US$1.128 billion).
The company’s annual revenue first topped the 1 trillion-won mark in 2016, setting a milestone in the South Korean coffee industry.
The figures for its competitors, such as A Twosome Place and Angel-in-us Coffee, are known to average between 100 and 200 billion won, according to industry sources.
Starbucks, which opened its first Korean branch near Ewha Womans University in Seoul in 1999, had 1140 stores throughout the country as of last month.
In December, the coffee chain opened its largest store in the country in Seoul.
Questions & Answers
Q.What was Starbucks Korea's estimated operating profit and sales last year?
What was Starbucks Korea's estimated operating profit and sales last year?
Industry sources estimate the coffee chain's operating profit was 110 billion won last year. Sales were estimated to have reached 1.2 trillion won, marking a significant financial performance for the company.
Q.Who runs the Starbucks coffee chain in South Korea?
Who runs the Starbucks coffee chain in South Korea?
The Starbucks coffee chain in South Korea is run by Shinsegae, a South Korean retail conglomerate. This information clarifies the ownership structure behind the successful operation.
Q.When did Starbucks Korea first achieve annual revenue exceeding 1 trillion won?
When did Starbucks Korea first achieve annual revenue exceeding 1 trillion won?
Starbucks Korea's annual revenue first topped the 1 trillion-won mark in 2016. This milestone was significant for the South Korean coffee industry, demonstrating early growth.
Q.How many Starbucks stores are there in South Korea as of last month?
How many Starbucks stores are there in South Korea as of last month?
As of last month, Starbucks had 1140 stores operating throughout South Korea. The first branch opened in 1999 near Ewha Womans University in Seoul, indicating steady expansion.
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