LKNCY - Luckin Coffee: The Growth Story Was Largely A Mirage
Luckin Coffee's (LKNCY) (LK) shareholders voted out its chairman and co-founder Charles Lu, helping continue the housecleaning after Luckin's major revenue fraud was discovered.
While this is a positive for trying to reestablish a bit of trust in Luckin's results, Luckin still faces a tough path for long-term survival. Before the fraud was discovered, Luckin was reporting significant operating losses but also reporting massive revenue growth (both as a company and per store). The significant operating losses remain, but it is now apparent that most of Luckin's revenue growth came from