Starbucks forecasts annual profit above estimates

Oct 29 (Reuters) – Starbucks forecast annual profit above expectations, signaling cost cuts and operational changes ​under CEO Brian Niccol’s two-year ‌turnaround efforts are taking root.Niccol has spent the past two years simplifying menus, improving staffing levels and reducing ‌wait ​times as part of ⁠his “Back to Starbucks” ⁠turnaround, helping the coffee chain achieve stable sales growth, although investors have been increasingly focused on whether ​the company can restore profitability.Starbucks has been addressing its costs through ⁠restructuring, including layoffs and ⁠store closures, aiming to ​offset the near $500 million in labor ​investments as part of the overhaul.The ‌Seattle-based company forecast annual adjusted earnings per share of $3.15 to $3.25, compared with analysts’ expectation of $3.14 per ⁠share, according to data compiled by LSEG.The world’s largest coffee chain reported fourth-quarter global ⁠same-store ‌sales growth of 7.2%, ⁠which surpassed analysts’ expectations of ​a ‌5.4% rise.Adjusted earnings per ​share came ⁠in at 80 cents, above the 72-cent estimate.(Reporting by Neil J Kanatt in Bengaluru and Waylon Cunningham in New York; Editing by ​Pooja Desai)