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Starbucks Malaysia denies shutting more than 100 outlets following boycott

KUALA LUMPUR: Starbucks Malaysia today denied claims by an online news portal that it has shut more than 100 Starbucks outlets in the country.

"The claim that more than 100 Starbucks outlets in Malaysia have been shut down is false. While we have ceased operations at only a few stores, most of the allegedly closed locations are only temporarily closed," a Starbucks Malaysia representative told Business Times.

He said the temporary closures are part of an ongoing assessment, allowing them to align their presence more strategically, with no loss of jobs.

"Importantly, no employees have been affected by the permanent or temporary closures, as they have been reassigned to nearby stores to continue serving our customers seamlessly," the representative said.

Starbucks Malaysia said they are seeing a positive improvement in their sales as their customers are starting to realise that the allegations against the brand are not true and that Starbucks has never been on the Boycott, Divestment, and Sanctions (BDS) list.

Starbucks Malaysia operator Berjaya Food Bhd (BFood) reported a net loss of RM91.5 million for the fiscal year ended June 30, 2024 (FY24) compared to a net profit of RM103.4 million in the previous year, on consumer boycotts and a one-time loss from the disposal of Jollibean Foods Pte Ltd.

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