Fast-growing coffee chain takes on Starbucks in China. No, it's not a mirage of 2019 when China’s Luckin Coffee was a New York investor darling, but it is the story from the fraud-hit java provider’s Tuesday update. Its 6,580 stores have overtaken its U.S. rival’s 5,654 while first-quarter same-store sales growth of 42% was helped by a raft of new products, joined in April by a new coconut brew which sold a whopping 5 million cups in a week. Meanwhile, Starbucks’ like-for-like China revenue dropped 23% in the same period. The company blamed pandemic curbs and a weak currency.
. Its 6,580 stores have overtaken its U.S. rival’s 5,654 while first-quarter same-store sales growth of 42% was helped by a raft of new products, joined in April by a new coconut brew which sold a whopping 5 million cups in a week. Meanwhile, Starbucks’ like-for-like China revenue dropped 23% in the same period. The company blamed pandemic curbs and a weak currency.
Notably, Luckin reported its first ever quarterly operating profit of $2.5 million and gave its first investor presentation in two years. Currently listed on the pink sheets, the company may be gunning for a return to the Big Board. Stronger financials and transparency about its fraud remediation measures are welcome. But with Covid-19 lockdowns paralysing economic activity in major cities, the momentum may not last in the second quarter. It will take more time, and more cups of joe, to get investors hooked again.
Deutschland Neuesten Nachrichten, Deutschland Schlagzeilen
Similar News:Sie können auch ähnliche Nachrichten wie diese lesen, die wir aus anderen Nachrichtenquellen gesammelt haben.
We can't let short-term crises derail efforts to tame climate changeAmid war, energy shortages and inflation spikes, nations are showing little sign of making good on the their emissions promises. That must change
Weiterlesen »
See Meghan Markle Wear Short Shorts Twice Over the Weekend in Rare Off-Duty PhotosA very rare look at Meghan’s off-duty California style.
Weiterlesen »
What Is a Short Squeeze? | Binance AcademyA short squeeze is a rapid price increase in a stock, cryptocurrency, or another financial asset thanks to the forced closure of short positions.
Weiterlesen »
Record U.S. reverse repos highlight problem of investing excess cashDemand for the Federal Reserve's reverse repurchase (RRP) facility has surged in the last few weeks, as the U.S. Treasury Department's reduced supply of short-term bills left investors few options to park excess cash.
Weiterlesen »
LAFC back on track going into U.S. Open Cup ‘El Trafico’ against GalaxyA road win at Columbus over the weekend gave the club the jolt it needed going into an elimination game skirmish with its rival on Wednesday night.
Weiterlesen »
Breakingviews - Snap! Elon Musk has another Twitter excuseSnap could be Twitter’s raven. The disappearing-message app abruptly slashed its second-quarter forecasts, sending its shares spiraling some 40%. That’s an ominous sign for Twitter. Elon Musk has an additional reason to bail on buying the social media network.
Weiterlesen »