Luckin Coffee Inc – ADR (NASDAQ: LK), which is being touted as a serious threat to Starbucks Corporation (NASDAQ: SBUX) in China, discussed concerns surrounding the COVID-19 outbreak's effect on the coffee chain in a conference call with analysts.
Luckin's Q1 Revenue Likely To Miss Expectations
Luckin now expects first-quarter revenue to end at nearly half the current estimate of 2.2 billion yuan ($315.3 million) to 2.3 billion yuan.
The extension of the Chinese New Year break into February following the coronavirus outbreak — and low volumes at the 500 stores that are open — are to be blamed for the expected shortfall, KeyBanc Capital Markets analyst Eric Gonazalez said …
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