Luckin Coffee, Inc. · OTC:LKNCY
Luckin Coffee — Q2 2023 Earnings Presentation
14 slides from Luckin Coffee's earnings presentation, Aug 1, 2023
Slide 1: LKNCY 2023Q2 Earnings Presentation
LKNCY 2023Q2 Earnings Presentation August 1, 2023
Slide 2: Disclaimer
DISCLAIMER This presentation contains certain financial measures that are not recognized under generally accepted accounting principles in the United States (“GAAP”), including non-GAAP operating income/(loss), non-GAAP net income/(loss), non-GAAP basic and diluted net income/(loss) per ADS. The pre
Slide 3: Business Update; Financial Highlights
1 BUSINESS UPDATE 2 FINANCIAL HIGHLIGHTS
Slide 4: Business Update
1 BUSINESS UPDATE
Slide 5: Another strong quarter with record high profit profile
Another strong quarter with record high profit profile Total net revenues Average monthly SSSG(2) transacting customers(1) (self-operated stores) RMB6,201.4 million 43.1 million 20.8% +88.0% YoY increase +107.9% YoY increase Store-level operating GAAP Operating Store footprint worldwide(5) profit(3)
Slide 6: Strive for sustainable growth by completing the UNGC audit
Strive for sustainable growth by completing the UNGC audit May Luckin Coffee Officially Became a 15 Participating Company of UNGC Work on the Ten Principles of the UNGC We will leverage digital technology and continue to increase investments in： Sustainable Business Model Sustainable Value Chain
Slide 7: Achieved 10,000 store milestone and became the largest coffee chain in China
Achieved 10,000 store milestone and became the largest coffee chain in China(1) Footprint in China 3,648 Partnership stores On June 5, 2023, our 10,000th store 10,829 opened in Xiamen. Total stores* 7,181 Self-operated stores +1,480 Roastery in Kunshan Net new store openings (2) (Under construction)
Slide 8: Launched a new brand proposition - LUCK IN HAND
Launched a new brand proposition - LUCK IN HAND Luckin office Established in 10,000 Stores Milestone! RMB 9.9 Every Week! Ethiopia Cumulative transacting customers Cups sold during the 2023 May Holiday surpassed 170 million * 23.07+ million +113% YoY increase Note: * As of June 30, 2023. 8
Slide 9: Financial Highlights
2 FINANCIAL HIGHLIGHTS
Slide 10: Record-breaking results in 2Q23 despite fierce competition
Record-breaking results in 2Q23 despite fierce competition Total net revenues Self-operated stores (in million RMB) Operating profit 15,000 Revenues from self-operated stores (1) SSSG (2) 250.0% (in million RMB) (in million RMB) 2,000 25.0% 10,000 110.0% Growth rate % (YoY) 13,000 200.0% Total net r
Slide 11: Strong growth driven by expansion efforts and market presence
Strong growth driven by expansion efforts and market presence Number of stores(1) Net new store openings(2) Average monthly transacting customers(3) (in million) +1,485 Self-operated stores 10,836 Self-operated stores Partnership stores Partnership stores 43.1 +1,137 +607 9,351 3,648 8,214 +479 7,84
Slide 12: Improved margin profile thanks to economies of scale
Improved margin profile thanks to economies of scale Outstanding net profit margin of 16.1% in the second quarter of 2023 Store-level operating profit General & administrative Sales & marketing Restructuring-related (self-operated stores) expenses expenses (excl. free cup) expenses Store-level profi
Slide 13: Balance sheet, liquidity and cash generation
Balance sheet, liquidity and cash generation Cash at bank and on hand(1) Cash flow from operating activities RMB RMB 5,256.4 million 1,444.4 million Interest-bearing debt Free cashflow(2) USD Full redemption RMB 0 of Senior Notes B in 3Q22 768.4 million Notes: (1) Includes cash and cash equivalents,
Slide 14: LUCK IN HAND
LUCK IN HAND pa VN