Starbucks Names New CFO

Rachel Ruggeri had been a longtime executive at the coffee retailer before leaving to serve as CFO at Continental Mills.
Lauren MuskettJanuary 7, 2021

Pat Grismer

Starbucks has named Rachel Ruggeri chief financial officer, replacing Pat Grismer, who is retiring February 1.

Grismer is staying with the company as an adviser to CEO Kevin Johnson through May 2. He had been CFO since 2018.

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“I want to thank Pat for his leadership and his many contributions to Starbucks through this period of unprecedented change and transformative growth. He has played an important role helping the company deliver on our “growth at scale” agenda while building a strong finance team with deep expertise, and I remain as confident as ever in the future of Starbucks,” Johnson said in a statement.

Rachel Ruggeri

Ruggeri joined Starbucks 16 years ago and held a variety of finance roles before leaving to serve for two years as CFO at Continental Mills, whose products include Kretschmer Wheat Germ and Krusteaz Pancake Mix. She returned to Starbucks this June.

During her tenure at Starbucks, Ruggeri has held a variety of finance positions of increasing responsibility, including vice president of corporate financial planning and analysis, vice president of finance in support of the U.S. business, and senior vice president of finance for global retail.

“It gives me great confidence to know that Rachel, a long-time Starbucks colleague and a seasoned financial executive, is stepping into this role,” Johnson said.

The company also reiterated its outlook for the first fiscal quarter of 2021 and its full-year forecast.

Starbucks has seen a sharp drop in profit as stores closed during the COVID-19 pandemic. It also announced it would be closing hundreds of stores as it pivoted toward to-go service. It projected fiscal first-quarter adjusted earnings of 50 cents to 55 cents per share.

The company said it expects earnings of $2.70 to $2.90 per share for the full year, after adjustments, on revenue between $28 billion and $29 billion. It reported profits of $392.6 million for the quarter ended September 27, down 51% year over year.

Last month, Johnson announced he wanted to increase wages for workers in its U.S. stores to $15 per hour over the next three years, calling the wage increases essential to the company’s brand positioning.

Starbuck’s share price has risen 18% in the last year.