Revenue Growth - Total net revenues increased by 10.2% to RMB3,331.9 million (US$465.1 million) from RMB3,023.3 million in the same quarter of 2024[3] - Total GMV generated in the second quarter of 2025 was RMB8,103.1 million, representing a 15.5% increase from the same quarter of 2024[4] - Net revenues from franchised teahouses were RMB3,020.7 million (US$421.7 million), a 6.1% increase from RMB2,847.8 million in the same quarter of 2024[5] - Company-owned teahouses generated net revenues of RMB311.2 million (US$43.4 million), a 77.3% increase from RMB175.5 million in the same quarter of 2024[5] - Total net revenues for the three months ended June 30, 2025, increased to RMB 3,331,881, representing a growth of 10.4% compared to RMB 3,023,337 in the same period of 2024[33] Income and Profitability - GAAP net income decreased by 87.7% to RMB77.2 million (US$10.8 million) from RMB628.7 million in the same quarter of 2024[7] - Non-GAAP net income was RMB629.8 million (US$87.9 million), representing a 0.1% year-over-year increase[7] - Net income attributable to the Company for the three months ended June 30, 2025, decreased to RMB 62,754, a decline of 89.9% from RMB 591,484 in the same period of 2024[33] - For the three months ended June 30, 2025, the non-GAAP net income was RMB 629,767, a slight increase from RMB 628,964 in the same period of 2024[38] - The net income for the six months ended June 30, 2025, was RMB 1,307,084, compared to RMB 1,224,426 for the same period in 2024, reflecting a growth of approximately 6.8%[38] Expenses and Costs - Total operating expenses increased by 41.5% to RMB3,224.3 million (US$450.1 million) from RMB2,279.4 million in the same quarter of 2024[6] - Share-based compensation expenses for the three months ended June 30, 2025, amounted to RMB 552,529, significantly higher than RMB 243 in the same period of 2024[40] - Total operating costs related to share-based compensation for the six months ended June 30, 2025, were RMB 552,529, compared to RMB 603 in the same period of 2024[40] - Sales and marketing expenses for the three months ended June 30, 2025, were RMB (31,131), up from RMB (10) in the same period of 2024[40] Cash and Assets - Cash and cash equivalents as of June 30, 2025, were RMB8,886.8 million (US$1,240.5 million), compared to RMB4,868.7 million as of December 31, 2024[10] - Cash and cash equivalents, including restricted cash, increased to RMB 8,627,791 as of June 30, 2025, up from RMB 3,654,665 at the end of the previous period[36] - Total current assets rose to RMB 9,523,319 as of June 30, 2025, compared to RMB 5,439,668 as of December 31, 2024, marking an increase of 75.5%[27] - The Company’s total assets increased to RMB 11,067,088 as of June 30, 2025, up from RMB 6,596,106 as of December 31, 2024, reflecting a growth of 67.5%[27] - Total liabilities decreased slightly to RMB 2,871,411 as of June 30, 2025, from RMB 2,907,851 as of December 31, 2024[27] Share Information - The weighted average number of ordinary shares used in computing net income per share, basic and diluted, increased to 168,594,146 for the three months ended June 30, 2025, from 100,622,884 in the same period of 2024[33] - The weighted average number of ordinary shares used in computing basic net income per share for the three months ended June 30, 2025, was 168,594,146, an increase from 100,622,884 in the same period of 2024[39] - The weighted average number of diluted ordinary shares for the six months ended June 30, 2025, was 169,862,430, compared to 102,533,192 in the same period of 2024[39] Future Outlook - The Company anticipates continued growth in the freshly-made tea drinks industry, which may positively impact future revenues and market expansion strategies[23]
CHA(CHA) - 2025 Q2 - Quarterly Results