Luckin Coffee rallies after saying growth story is still percolating

Mar. 24, 2022 8:34 AM ETLuckin Coffee Inc. (LKNCY)By: Clark Schultz, SA News Editor

exterior of Luckin Coffee shop in China

Robert Way/iStock Editorial via Getty Images

Luckin Coffee (OTCPK:LKNCY) said it opened more than 350 new stores in Q4 on a net basis and ended the period with more than 6,000 stores in China.

Same-store sales growth for self-operated stores in Q4 was 43.6% higher.

Average monthly transacting customers in the quarter were up 67.1% to 16.2M.

Luckin Coffee (LKNCY) said it achieved 20.9% store level profit for self-operated stores in the quarter.

CEO update: "The company’s recent completion of the provisional liquidation plays a major role in advancing our growth strategy as it allows us to operate from a position of greater financial strength and unlock our full potential. As we enter 2022, we are energized and cognizant of predicted macroeconomic headwinds, including the recent outbreak of COVID in China. We remain dedicated to providing the innovative products and services that our customers have come to rely upon and driving improved returns on capital and long-term value for our shareholders."

Shares of Luckin Coffee (LKNCY) jumped 5.05% in premarket action to $11.45 vs. the 52-week trading range of $5.16 to $17.79.

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