BEIJING, China – Luckin Coffee Inc. yesterday announced its unaudited financial results for the three months ended September 30, 2023. Total net revenues in the third quarter were RMB7,200.0 million (US$986.8 million), representing an increase of 84.9% from RMB3,894.6 million in the same quarter of 2022.
Net new store openings during the third quarter was 2,437, including eleven new store openings in Singapore, resulting in a quarter-over-quarter store unit growth of 22.5% from the number of stores at the end of the second quarter of 2023, ending the third quarter with 13,273 stores which include 8,807 self-operated stores and 4,466 partnership stores.
Average monthly transacting customers in the third quarter was 58.5 million, representing an increase of 132.9% from 25.1 million in the same quarter of 2022.
Revenues from self-operated stores2 in the third quarter were RMB5,141.0 million (US$704.6 million), representing an increase of 79.3% from RMB2,867.1 million in the same quarter of 2022.
Same-store sales growth for self-operated stores in the third quarter was 19.9%, compared to 19.4% in the same quarter of 2022.
Store level operating profit – self-operated stores2 in the third quarter was RMB1,185.4 million (US$162.5 million) with store level operating profit margin of 23.1%, compared to RMB771.8 million with store level operating profit margin of 26.9% in the same quarter of 2022.
Revenues from partnership stores in the third quarter were RMB1,840.8 million (US$252.3 million), representing an increase of 104.7% from RMB899.1 million in the same quarter of 2022.
GAAP operating income in the third quarter was RMB961.7 million (US$131.8 million), representing a GAAP operating income margin of 13.4%, compared to RMB585.3 million, or a GAAP operating income margin of 15.0%, in the same quarter of 2022. Non-GAAP operating income in the third quarter, which adjusts for share-based compensation expenses, was RMB1,025.5 million (US$140.6 million), representing a non-GAAP operating income margin of 14.2%, compared to RMB693.8 million, or a non-GAAP operating income margin of 17.8%, in the same quarter of 2022.
“We are proud to report another strong quarter, where we achieved record revenue and increased our footprint with more than 2,400 net new store openings,” said Dr. Jinyi Guo, Chairman and Chief Executive Officer of Luckin Coffee, “Our new, innovative product offerings and marketing efforts continue to resonate with customers, driving significant growth in both revenue and monthly transacting customers.
During the third quarter, we achieved a record 58.5 million average monthly transacting customers, a 132.9% year-over-year increase.
As a result of our pricing strategy that is behind the increase of our market share, our operating profit margin in the third quarter fell from 15.0% of the same period last year to 13.4%. We have been continuously building a talented and hardworking team at Luckin Coffee and we remain committed to providing our customers with the exceptional products and services they expect from us at affordable price.”
Dr. Guo continued, “As we move into the fourth quarter, we remain focused on delivering value to our customers, enhancing our product offerings, and continuing with our pricing and expansion strategy to serve more customers and expand our global footprint to ensure that we are well positioned for long-term growth.”
