Luckin Coffee (LKNC) Q1 2026 earnings summary

Executive summary

• Net revenues grew 35.3% year-over-year to RMB12.0 billion for Q1 2026, driven by robust store expansion and a 25.3% increase in average monthly transacting customers to 93.1 million.

• Store count reached 33,596 globally, with 2,548–2,531 net new stores opened, including significant expansion in both high and lower tier cities and internationally.

• Launched a US$300 million share repurchase program over one year to enhance shareholder returns and reaffirm long-term value creation.

• Continued focus on product customization, digital capabilities, and customer experience to drive growth.

Financial highlights

• Revenues from self-operated stores grew 32.6% to RMB8,592 million; partnership store revenues rose 44.9% to RMB3,015 million.

• GAAP operating income was RMB715.9 million (6% margin); non-GAAP operating income was RMB898 million (7.5% margin).

• Net profit was RMB506 million (4.2% margin); non-GAAP net profit was RMB686.5 million (5.7% margin), up 6% year-over-year.

• Store-level operating profit for self-operated stores was RMB1,169.4 million, with a 13.6% margin.

• Cash and cash equivalents, restricted cash, term deposits, and short-term investments totaled RMB9,054.6 million as of March 31, 2026, with no outstanding interest-bearing debt.

Outlook and guidance

• Expects scale advantages and operating capabilities to drive improvements in same-store performance, efficiency, and profitability.

• Management remains confident in long-term growth and profitability, despite short-term volatility in same-store sales due to last year's delivery subsidies.

• Will continue to focus on product innovation, brand engagement, and customer experience to unlock further growth.