Luckin Coffee reports Q2 EPS RMB 3.04 vs. RMB 3.36 last year

Reports Q2 revenue RMB 8.4B vs. RMB 6.2B last year. Net new store openings during the second quarter was 1,371, including five new store openings in Singapore, resulting in a quarter-over-quarter store unit growth of 7.4% from the number of stores at the end of the first quarter of 2024, ending the second quarter with 19,961 stores which include 13,056 self-operated stores and 6,905 partnership stores. “We are thrilled to report another robust quarter, marked by significant growth in our product sales, the store network expansion and the increase in the number of average monthly transacting customers,” said Dr. Jinyi Guo, CEO. “This quarter, we achieved a notable increase in net revenues by 35.5%, and a surge in our average monthly transacting customers by 61.8%, compared to the same quarter last year. We have continued to make tremendous progress with the growth of our store footprint in the second quarter. In the second quarter, we added 1,371 net new stores, five of which were in Singapore. In July, we inaugurated our 20,000th store in Beijing, underscoring Luckin’s dominant position among China’s coffee chains. Additionally, our financial performance has seen a positive shift, with our GAAP operating margin improving to 12.5% from the first quarter. As another important development, in the presence of Brazilian Vice President Geraldo Alckmin, we entered into a series of letters of intent to procure approximately 120,000 metric tons of coffee beans from Brazil through the end of 2025. Given Brazil’s prominent position in global coffee production and exports, this collaboration is pivotal for Luckin, and we are excited about the opportunities it presents for our future endeavors. As we move into the second half of 2024, we remain focused on delivering value to customers as well as leveraging our strengthened supply chain and increased store footprint to introduce more innovative and high-quality products to our growing customer base. We believe that we are well-positioned to increase our market share, quality of our products and brand awareness. I would also like to thank the Luckin team and all of our customers for their continued support of the Luckin brand. Looking ahead, we aim to further expand our footprint and offering, creating long-term value and driving sustainable growth.”