Source: Economic Observer Network
Economic Observer Network: Luckin Coffee's revenue increased in the first quarter of 2026, but its net profit declined. The store scale continued to expand, and recent developments related to the brand and products have attracted market attention.
Performance and business situation:
According to the first quarter financial report of 2026, the company's total net income was 11.995 billion yuan, a year-on-year increase of 35.3%. But the net profit was 506 million yuan, a year-on-year decrease of about 3.3% -3.6%. The GAAP operating profit margin decreased from 8.3% in the same period last year to 6.0%. It is worth noting that the growth rate of same store sales in self operated stores has turned negative for the first time (-0.1%).
Store and User Scale:
As of the end of the first quarter, the total number of global stores reached 33596. The latest data shows that as of May 31st, the total number of global stores has exceeded 35000. The average monthly number of trading customers reached 93.09 million, a year-on-year increase of 25.3%.
Cost pressure:
The delivery expenses in the first quarter surged by 89.8% year-on-year to 1.308 billion yuan, which is one of the main reasons for eroding profits. The company has initiated a share repurchase plan with a total amount not exceeding 300 million US dollars.
Brand marketing activities:
On June 8th, Luckin Coffee launched the "Luckin Coffee is Enough" full category theme activity and disclosed for the first time that its freshly made tea drinks and non coffee categories have accumulated sales of over 20 billion yuan, creating 22 products with sales exceeding 100 million cups.
Recent negative public opinion:
On June 1st, it was revealed that the joint merchandise of Luckin Coffee and Hello Kitty mistakenly printed "HELLO" as "HEELO", causing widespread attention. This is the second time a similar issue has occurred this year, and there was also a font error when collaborating with "Line Dog" in February. Industry analyst Zhang Shule pointed out that this exposes the company's management negligence and is a stain on the brand. Recently, a large number of consumers have complained that Luckin Coffee's "de iced" drinks have severely reduced their capacity, raising questions about the "ice assassin" and consumer fairness. According to Weibo data, about 45% of netizens expressed strong dissatisfaction with this. Luckin Coffee responded that it has strengthened nationwide store training. On the Black Cat Complaints Platform, there have been over 25120 complaints about Luckin Coffee.
Recent stock trends:
According to data from the US stock market, Luckin Coffee (LKNCY. US) experienced a price range of -0.12% and a range amplitude of 4.63% from June 1st to June 5th. The closing price on June 5th was $32.12.
The above content is based on publicly available information and does not constitute investment advice.
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