#1luckin coffee LKNCY 2022Q2 Earnings Presentation August 8, 2022 LUCKIN luckin coffee 进入大楼 请佩戴口罩 Jeans JARES JE luckin ca Arckin luckin coffe Ick luckin coffee luckin coffee 11 kin coffee luckin coffee luckin coffee luckin coffee Win affee kin#2DISCLAIMER This presentation contains certain financial measures that are not recognized under generally accepted accounting principles in the United States (“GAAP”), including non-GAAP operating income/loss, non-GAAP net income/loss, non-GAAP basic and diluted net income/loss per ADS. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. For a reconciliation of these non-GAAP financial measures to the most directly comparable GAAP measures, please see the table captioned "Reconciliation of Non-GAAP Measures to the Most Directly Comparable GAAP Measures" in the earnings release. This presentation contains forward-looking statements within the meaning of Section 21E of the U.S. Securities Exchange Act of 1934, as amended. These statements can be identified by terminology such as “will,” “expects," "anticipates," "future," "intends,” “plans,” “believes,” “estimates,” “potential,” “continue,” “ongoing,” “targets," "guidance" and similar statements. Luckin Coffee may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the "SEC"), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Any statements that are not historical facts, including statements about Luckin Coffee's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the expense, timing and outcome of existing or future legal and governmental proceedings, investigations in connection with Luckin Coffee; the outcome and effect of the restructuring of Luckin Coffee's financial obligations; Luckin Coffee's growth strategies; its future business development, results of operations and financial condition; the effect of the non-reliance identified in, and the resultant restatement of, certain of Luckin Coffee's previously issued financial results; the effectiveness of its internal control; its ability to retain and attract its customers; its ability to maintain and enhance the recognition and reputation of its brand; its ability to maintain and improve quality control policies and measures; its ability to establish and maintain relationships with its suppliers and business partners; trends and competition in China's coffee industry or China's food and beverage sector in general; changes in its revenues and certain cost or expense items; the expected growth of China's coffee industry or China's food and beverage sector in general; PRC governmental policies and regulations relating to Luckin Coffee's industry; the potential effects of COVID-19; and general economic and business conditions globally and in China and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks, uncertainties or factors is included in Luckin Coffee's filings with the SEC. All information provided in this presentation is as of the date of this presentation, and Luckin Coffee undertakes no obligation to update any forward-looking statement, except as required under applicable law. luckin coffee|** 2#3影城 233 ee lackin coffe 1 2 BUSINESS UPDATE FINANCIAL HIGHLIGHTS luckin coffee 瑞幸 DDO DEF#4luckin coffee 专业咖啡新鲜式 1 BUSINESS UPDATE luckin coffee 瑞幸 DDO DEF#5Solidified management team under an enhanced organizational structure Jinyi GUO Chairman & Chief Executive Officer Reinout SCHAKEL Chief Strategy Officer Wenbao CAO Director & SVP Shan JIANG SVP Fei YANG Chief Growth Officer Weiming ZHOU Gang WU SVP SVP Jing AN Chief Financial Officer luckin coffee** 5#6Continued strong performance despite COVID headwinds Notes: Total net revenue RMB3,299 million +72.4% YoY increase Average monthly transacting customer(1) 20.7 million +68.6% YoY increase SSSG(2) (self-operated stores) 41.2% Store-level operating profit(3) GAAP Operating income Store footprint(5) (self-operated store) 30.6% store-level profit margin(4) RMB712 million 7.3% operating income margin RMB242 million 7,195 stores +615 net new store opening (6) QoQ (1) The total of each month's number of transacting customers divided by the number of months during the period (includes those of partnership stores and those only paid with free-coupons). (2) Defined as growth rate of total revenue from self-operated stores that has been in operation as at the beginning of comparable period beginning and was not closed before current period ending with the number of average operating days over 15 per month over both current period and last year's comparable period. (3) Calculated by dividing store level operating profit/(loss), which is calculated by deducting cost for self-operated stores including cost of direct materials (including wastage in stores), cost of delivery packaging materials, storage and logistics expenses, store depreciation expense (including decoration loss for store closure), store rental and other operating costs, net delivery expense, transaction fees, store preopening and other expenses from our self-operated store revenues, by total revenues from self-operated stores. (4) Calculated by deducting cost for self-operated stores including cost of direct materials (including wastage in stores), cost of delivery packaging materials, storage and logistics expenses, store depreciation expense (including decoration loss for store closure), store rental and other operating costs, net delivery expense, transaction fees, store preopening and other expenses from our self-operated store revenues (5) The number of stores open at the ending of the period, excluding unmanned machines. (6) The number of gross new stores opened during the period minus the number of stores permanently closed during the period. luckin coffee ** 瑞幸 咖啡 6#7Established sustainable development committee dedicated to sustainable growth Swan in cof Go Big! Do Good! All Together! ckin coffee luckin cotre CUTTER luckin coffe luckin cottee luckin coffee luckin coffee luckin coffee luckin coffee 便除细菌情为保护地球做一份贡献 luckin coffee 7#8Breakthroughs in technology to further enhance business operations Hybrid MultiCloud • • IT infrastructure milestone Officially launched in June Capacity improvement • 2 support 5-10 mn orders/day Cost effective Luckin Coffee Block Chain • Data reliability Pioneer in Block Chain X Fin • Data verification Finance & IC enhancement luckin coffee ** 咖啡 8#9Strong performance during pandemic-related headwinds due to our unique business model Popular among younger generation luckin coffee People Store-mix & business model Places luckra -------- Products Integrated supply chain & hit products luckin coffee luckin coffee 瑞幸 咖啡 9#10Strengthened our brand awareness supported by successful new product launches 年轻! LIVIN' YOUNG LUCKIN ON 就要瑞幸 Professionalism . Youth Fashion • Wellness 0 LUCKIN New transacting customers in Q2 10+ million Official account followers 30+ million luckin coffee ** 咖啡 10#11Product strategy: continue to focus on professionalism and good flavors Successful products luckin coffee luckin coffee Coconut cloud latte HOT luckin coffee Suckin coffee LK roasting facilities 2444444 444 2nd Roastery @ Kunshan 1st Roastery @ Pingnan क luckin coffee ** 瑞幸 咖啡 11#12Extensive nationwide footprint provides us with significant competitive advantages (1) 7,195 Stores Heilongjiang Beijing Liaoning Neimenggu Tianjin Hebei Ningxia Shanxi Qinghai Gansu Shandong Shaanxi Henan Jiangsu Anhui Hubei Sichuan Chongqing Zhejiang Jiangxi Guizhou Hunan 500+ stores Fujian 201-500 stores Yunnan 101-200 stores 1-100 stores 0 store Municipalities Guangxi Guangdong Hainan Self-operated stores: Jilin Shanghai 4,968 stores in 59 cities Partnership stores: 2,227 stores in 231 cities Guangxi Guangdong Hainan luckin coffee ** 咖啡 12#13ck fee 2 FINANCIAL HIGHLIGHTS luckin coffee 瑞幸 DDO DEF#14Another quarter of strong results: Over 70% growth in net revenues and continued improvement in profitability profile, despite pandemic-related headwinds Notes: Q2'20 Total stores at end of quarter (1) 5,091 Q2'21 5,259 Q2'22 7,195 79 308 615 Group Performance Net new stores # # Average monthly transacting customers ('000) (2) 8,945 12,285 20,712 Revenue (RMB million) 979 1,914 3,299 Revenue growth (%) 49.9% 95.4% 72.4% Operating profit (RMB million) (762) (48) 242 Revenue - self-operated stores (RMB million) 843 1,529 2,331 Self-operated Stores Revenue growth (%) 37.3% 81.4% 52.4% Same-store sales growth (%) (3) (6.8)% 71.8% 41.2% Store level profit margin (4) (18.6)% 23.1% 30.6% luck in Partnership Stores Revenue - partnership stores (RMB million) 76 279 778 Revenue growth (%) n.a. 268.9% 178.4% (1) The number of stores open at the ending of the period, excluding unmanned machines. (2) The total of each month's number of transacting customers divided by the number of months during the period (includes those of partnership stores and those only paid with free-coupons). (3) Defined as growth rate of total revenue from self-operated stores that has been in operation as at the beginning of comparable period beginning and was not closed before current period ending with the number of average operating days over 15 per month over both current period and last year's comparable period. (4) Calculated by dividing store level operating profit/(loss), which is calculated by deducting cost for self-operated stores including cost of direct materials (including wastage in stores), cost of delivery packaging materials, storage and logistics expenses, store depreciation expense (including decoration loss for store closure), store rental and other operating costs, net delivery expense, transaction fees, store preopening and other expenses from our self-operated store revenues, by total revenues from self-operated stores. luckin coffee ** 咖啡 14#15Accelerated store growth: opened 615 net new stores and entered 14 new lower- tier cites during the second quarter 615 7,195 Q2 '22 Unit Growth Total # of stores as of 30 June 2022 Q2 '21 Q3 '21 Q4'21 Q1'21 Q2'22 Total stores at end of the quarter 4,018 4,206 4,397 4,675 4,968 Self-operated Stores Net new openings +79 +188 +191 +278 +293 Total cities at end of the quarter 56 56 56 56 59 Total stores at end of the quarter 1,241 1,465 1,627 1,905 2,227 Partnership Stores Net new openings +229 +224 +162 +278 +322 Total cities at end of the quarter 213 218 220 220 231 luckin coffee ** 15#16Continued improvement in our profitability profile Reached operating profit margin of 7.3% in Q2, a material improvement YoY Store-level profit margin (1) 30.6% % total net revenue (2) 8.0% % total net revenue (2) 26.2% % total net revenue (2) 18.2%▲ (18.6)% 23.1% Q2'22 Q2'20 Q2'20 Q2'21 Store level profit for self-operated stores 15.0% 4.7% 3.9% Q2'21 Q2'22 Q2'20 Sales & marketing expenses (excl. Free cup) Q2'21 10.4% 3.3% 0.6% Q2'22 Q2'20 Q2'21 Q2'22 General & administrative expenses Restructuring-related expenses RMB 221.8 mn impairment loss of Luckin Express machines was booked in Q2 2022. Notes: (1) Calculated by dividing store level operating profit/(loss), which is calculated by deducting cost for self-operated stores including cost of direct materials (including wastage in stores), cost of delivery packaging materials, storage and logistics expenses, store depreciation expense (including decoration loss for store closure), store rental and other operating costs, net delivery expense, transaction fees, store preopening and other expenses from our self-operated store revenues, by total revenues from self-operated stores. (2) As a percentage of net revenue. luckin coffee | ** 咖啡 16#17Balance sheet, liquidity and cash generation Cash and cash equivalents (1) 3 RMB 4,474 million Cash flow from operating activities RMB (553) million As reported Adjusted for USD175 million settlement payment(2) RMB 619 million +70.7% YoY increase Interest-bearing debt S ០៥០ Free cashflow RMB (548) Adjusted for USD175 million settlement payment(2) RMB 625 million USD 109.9 million million Notes (1) Includes restricted cash and liquid investments. Investments do not include TRUSTS that were subsequently impaired. (2) The USD175 million settlement payment for the federal class settlement, which company has funded into an escrow account prior to June 30,2022. +136.8% YoY increase luckin coffee ** 咖啡 17#18ckin cof fuckin coffee luckin coffee luckin coffee Suckin coffee luckin coffee chin coffee 可 luck warkin coffee fuckin coffee Zhao coffee luckin coffee (4 in coffel Q&A luckin coffee 瑞幸 咖啡