Luckin Coffee Reports Strong Q1 2025 Results with Surge in Revenue, Store Growth, and Profitability

Luckin Coffee Inc. has announced robust unaudited financial results for the first quarter ending March 31, 2025, showing significant year-over-year growth across key performance metrics, including revenue, store expansion, and profitability.

Key Financial and Operational Highlights

• Total net revenue reached RMB 8.87 billion (US$1.22 billion), a 41.2% increase compared to Q1 2024.

• Same-store sales growth for self-operated stores rebounded to +8.1%, a strong turnaround from -20.3% a year earlier.

• GAAP operating margin rose to 8.3%, up from a -1.0% margin in Q1 2024.

• Net income amounted to RMB 525.1 million (US$72.3 million), reversing a net loss of RMB 83.2 million in the prior-year period.

• New store openings totaled 1,757, pushing the global store count to 24,097, including locations in China, Hong Kong, Singapore, and Malaysia.

• Monthly active customers reached an average of 74.3 million, up 24% year-over-year.

Dr. Jinyi Guo, co-founder and CEO of Luckin Coffee, commented:
“We delivered strong first-quarter results driven by 41% revenue growth and a return to positive same-store sales performance. Our strategy of scaling rapidly while maintaining operational efficiency continues to show results. As we expand across China and beyond, we remain focused on delivering high-quality coffee at accessible prices.”

Segment Performance

• Self-operated stores contributed RMB 6.48 billion (US$892.2 million) in revenue, up 41.5% year-over-year.

• Partnership stores generated RMB 2.08 billion (US$286.5 million), marking a 38% increase.

• Store-level operating profit for self-operated stores grew 244.8% year-over-year to RMB 1.1 billion, with a margin of 17.1%.

• Revenue from freshly brewed drinks accounted for nearly 70% of total revenues, rising to RMB 6.16 billion.

• Operating expenses rose 28.1% to RMB 8.13 billion, mainly due to business expansion, but as a percentage of revenue fell to 91.7% from 101% in Q1 2024.

Leadership Update

In a strategic board transition, Dr. Jinyi Guo stepped down as Chairman while retaining his role as CEO. Hui Li, Chairman and CEO of Centurium Capital and a former Luckin board member, was appointed as the new Chairman.

Mr. Li stated:
“It is a privilege to return to Luckin Coffee at this pivotal time. I look forward to working with Dr. Guo and the management team to guide the company’s next chapter of growth.”

Financial Strength

• Non-GAAP operating income reached RMB 864.3 million (US$119.0 million), compared to RMB 5.0 million a year ago.

• Non-GAAP net income jumped to RMB 649.3 million (US$89.4 million), up from a net loss of RMB 13.1 million in Q1 2024.

• Cash position remains solid at RMB 6.13 billion (US$844.0 million) as of March 31, 2025.

• Net cash from operating activities totaled RMB 896.6 million (US$123.4 million), reversing a net outflow of RMB 264.4 million in the same quarter last year.

Outlook

Luckin Coffee reaffirmed its commitment to long-term sustainable growth through product innovation, digital integration, and continued store expansion. The company is well-positioned to strengthen its leadership in China’s rapidly evolving coffee market.

A live conference call to discuss the results was scheduled for April 29, 2025. A replay and webcast are available via the company’s investor relations website.

For full financial tables and non-GAAP reconciliations, please refer to the official release on investor.lkcoffee.com.