In January, we exited our position in Starbucks after generating a 73% total shareholder return during our initial 19-month investment in the company.c At the time of our exit, Starbucks was performing strongly after a successful turnaround of its business under CEO Kevin Johnson and his team, and while Covid-19 had emerged in China, the virus had not yet impacted the company's share price.
In March, shortly after our exit, the stock declined substantially along with the broader market, providing an opportunity for us to repurchase our stake in the company at a highly attractive valuation. Despite short-term sales headwinds from Covid-19, Starbucks remains one of the world's best businesses, which we believe will emerge even stronger from the current crisis. Starbucks results reported since we re-established our position have demonstrated that the company's recovery plan is working. The company's stock price has begun to reflect its business progress generating a total shareholder return of 39% from our average cost to repurchase our stake in the company.
Given the company's leading presence in China, Starbucks was well-prepared for the arrival of Covid-19 in the U.S. After an outstanding start to the calendar year with same-store sales growth between 6% and 7% through mid-March, the company rapidly shifted to a drive-thru and delivery-only model. With 44% of the store base open, April same-store sales declined and bottomed at negative 65%. As management steadily reopened both locations and in-store ordering, same-store sales improved to negative 14% in July, with 96% of stores open. The sales recovery has been driven by store re-openings and underlying sales momentum, with same-store sales of stores open throughout the year improving from a low of negative 25% in April, to positive 2% in July. The recovery path in the U.S. closely parallels what Starbucks has achieved in China, albeit with a lag of about one quarter given the later arrival of the virus in U.S.
Starbucks is taking longer to recover than our other restaurant companies given that the brand generates 50% of sales from breakfast, a daypart which is geared towards work and school commuting routines. We believe that the company's long-term earnings power, however, is undiminished, and that recent developments have left Starbucks in perhaps its strongest-ever competitive position, underpinned by the company's leading digital ecosystem both in the U.S. and globally, as well as the demise of its key competitor, Luckin Coffee, in China. Management is playing offense by investing in key growth initiatives including digital, with the loyalty program set to receive another major upgrade this fall, new store formats such as pickup-only locations, and menu innovation including plant-based beverages and food. Management has cited improving speed of service at the drive-thru as the largest potential driver for increasing near-term sales.
From Bill Ackman (Trades, Portfolio)'s Pershing Square 2020 semiannual shareholder letter.
