Luckin Coffee Inc

Ladies and gentlemen, welcome to Luckin Coffee's second quarter 2023 earnings conference call. All participants will be in listen-only mode during management's prepared remarks, and there will be a question and answer session to follow. Today's conference is being recorded. At this time, I would like to now turn the call over to Ms. Alicia Guo, Head of Investor Relations for Luckin Coffee, for prepared remarks and introductions. Please go ahead, Alicia.

Hello, everyone, and thank you for joining us on today's call. Locking Coffee announced its second quarter 2023 financial results earlier today. Today, you will hear from Dr. Guo Jingyi, Chairman and CEO of Locking Coffee, and Ms. An Jing, CFO of Locking Coffee. After the company's prepared remarks, the management team will conduct a question and answer session based on questions submitted via the company's webcast. We will be referring to a slide presentation on today's call, which can be found via a conference call webcast link, as well as on the company's IR website. The IR website link is investor.lkcoffee.com. During today's call, the company will be making some forward-looking statements regarding future events and results. Statements that are not historical facts including but not limited to statements about the company's beliefs and expectations are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. Further information regarding these and other risks is included in the company's filings with the SEC. With respect to any non-GAAP measures discussed during the call today, the accompanying reconciliation information related to those measures can be found in the earnings press release issued earlier. During today's call, Dr. Guo will speak in Chinese, and his comments will be translated into English. Now I would like to turn the call over to Dr. Guo Jingyi, Chairman and CEO of Locking Coffee. Dr. Guo, please go ahead.

大家好,欢迎参加今天的业绩沟通会。 感谢各位对日信咖啡的持续关注与支持。 我是日信咖啡的董事长兼CEO郭景一。 In the second quarter of this year, in the face of the increasingly intense market competition environment, Ruixin Coffee continues to achieve high-speed growth in terms of income and profits with its unique business model, operating efficiency and scale advantages. In this quarter, Ruixin Coffee has reached a milestone of more than 10,000 stores in China, and has become the first chain coffee brand with more than 10,000 stores in the Chinese market. For this reason, we have issued a new brand policy of luck. At the same time, in order to repay the customers' support and love, we have launched the 10,000 shop Tongqing to return the customers' discount activities, so that 10,000 consumers can enjoy 9.9 yuan of high-quality coffee every week. The launch of discount activities is deeply loved by consumers. Through the activity, we let more customers drink higher quality coffee at a more favorable price, accelerating the further recognition of the Chinese consumer of coffee consumption. At the same time, it also helps Ruixin Coffee to further expand its market share and increase its brand influence. The results of Ruixin Coffee today are inseparable from the support of tens of thousands of consumers. Therefore, we decided to carry out the 9.9 yuan gratitude return activity in a normal way, more sincerely and more long-term to repay the love of consumers. We decided that this activity will last at least two years. We hope to accelerate the increase in the market share of Ruixin coffee through the activities to promote the continued development of the Chinese coffee market.