Luckin Coffee (Luckin Coffee) Cash-to-Debt : 0.70 (As of Dec. 2023)

View and export this data going back to 2019. Start your Free Trial

What is Luckin Coffee Cash-to-Debt?

Cash to Debt Ratio measures the financial strength of a company. It is calculated as a company's cash, cash equivalents, and marketable securities divide by its debt. Luckin Coffee's cash to debt ratio for the quarter that ended in Dec. 2023 was 0.70.

If Cash to Debt ratio is less than 1, the company cannot pay off its debt using the cash in hand. Here we can see, Luckin Coffee couldn't pay off its debt using the cash in hand for the quarter that ended in Dec. 2023.

The historical rank and industry rank for Luckin Coffee's Cash-to-Debt or its related term are showing as below:

LKNCY' s Cash-to-Debt Range Over the Past 10 Years
Min: 0.7 Med: 1.86 Max: No Debt
Current: 0.7

During the past 7 years, Luckin Coffee's highest Cash to Debt Ratio was No Debt. The lowest was 0.70. And the median was 1.86.

LKNCY's Cash-to-Debt is ranked better than
64.91% of 342 companies
in the Restaurants industry
Industry Median: 0.405 vs LKNCY: 0.70

Luckin Coffee Cash-to-Debt Historical Data

The historical data trend for Luckin Coffee's Cash-to-Debt can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: An indication of "No Debt" does not necessarily mean that the company has no debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

* Premium members only.

Luckin Coffee Cash-to-Debt Chart

Luckin Coffee Annual Data

Trend

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Cash-to-Debt

Get a 7-Day Free Trial

7.91

1.68

1.58

1.86

0.70

Luckin Coffee Quarterly Data
	Dec18	Mar19	Jun19	Sep19	Dec19	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Cash-to-Debt	Get a 7-Day Free Trial															1.86	2.04	1.86	1.44	0.70

Competitive Comparison of Luckin Coffee's Cash-to-Debt

For the Restaurants subindustry, Luckin Coffee's Cash-to-Debt, along with its competitors' market caps and Cash-to-Debt data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Luckin Coffee's Cash-to-Debt Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Luckin Coffee's Cash-to-Debt distribution charts can be found below:

* The bar in red indicates where Luckin Coffee's Cash-to-Debt falls into.

Luckin Coffee Cash-to-Debt Calculation

This is the ratio of a company's Cash, Cash Equivalents, Marketable Securities to its debt. The debt includes the Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation. This ratio measures the financial strength of a company. This ratio is updated quarterly.

Luckin Coffee's Cash to Debt Ratio for the fiscal year that ended in Dec. 2023 is calculated as:

Cash to Debt Ratio	=	Cash, Cash Equivalents, Marketable Securities	/	Total Debt
	=	Cash, Cash Equivalents, Marketable Securities	/	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)
	=	488.744	/	(259.28	+	436.242)
	=	0.70

Luckin Coffee's Cash to Debt Ratio for the quarter that ended in Dec. 2023 is calculated as:

Cash to Debt Ratio	=	Cash, Cash Equivalents, Marketable Securities	/	Total Debt
	=	Cash, Cash Equivalents, Marketable Securities	/	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)
	=	488.744	/	(259.28	+	436.242)
	=	0.70

Luckin Coffee (OTCPK:LKNCY) Cash-to-Debt Explanation

If Cash to Debt ratio is greater than 1, the company can pay off its debt using the cash in hand. If it is smaller than 1, it means the company has more debt than the cash in hands. In this case, it is important to look the the company's Interest Coverage. Ben Graham requires that a company must have an Interest Coverage of at least 5.

Luckin Coffee Cash-to-Debt Related Terms

Thank you for viewing the detailed overview of Luckin Coffee's Cash-to-Debt provided by GuruFocus.com. Please click on the following links to see related term pages.

Luckin Coffee (Luckin Coffee) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Restaurants » Luckin Coffee Inc (OTCPK:LKNCY) » Definitions » Cash-to-Debt

Comparable Companies

Traded in Other Exchanges

0A6U:UK LC0A:Germany

Address

1-3 Taibei Road, 28th Floor, Building T3, Haixi Jingu Plaza, Siming District, Fujian, Xiamen, CHN, 361008

Website

https://investor.luckincoffee.com

Luckin Coffee Inc is a China based company engaged in operation of coffee stores. It sources its Arabica coffee beans from various suppliers and engage World Barista Champion teams to design its coffee recipes. The company also has partnered with suppliers for other products such as juices and light meals.