Lates News

On the evening of August 3, Luckin Coffee announced its second-quarter financial results, reporting a quarterly revenue of 15.89 billion yuan, a year-on-year increase of 28.5%. In the first half of the year, over 5,000 new stores were opened. The financial report indicated that Luckin Coffee's performance growth mainly stemmed from the increase in stores and the rise in the number of monthly transacting customers. The average monthly number of transacting customers in the second quarter reached 112.7 million, representing a year-on-year growth of 22.9%. However, impacted by the high base of last year's delivery battle, the same-store sales growth rate for Luckin's self-operated stores in the second quarter was -5.3%, compared to 13.8% in the same period last year. Yet, as the market stabilizes, Luckin's operating profit for self-operated stores in the second quarter was 2.47 billion yuan, a year-on-year increase of 25.9%, with the store operating profit margin remaining flat compared to last year. In response to analysts' questions, Guo Jinyi expressed that the Chinese coffee market is still in a phase of rapid growth, with a continuously improving penetration rate and a steady increase in consumption frequency, indicating that the market ceiling for coffee shops is still very high. With the increasing penetration rate of coffee drinkers and rising consumption frequency, this ceiling is continually expanding. Luckin will continue to maintain its store opening pace to enhance its market share.