China drinks chain Mixue profits spike 40% in 2024

An worker waits for customers astatine a Mixue Ice Cream & Tea store successful Hong Kong connected March 26, 2025. Photo: Peter PARKS / AFP
Source: AFP

Chinese drinks institution Mixue Group, which has surpassed McDonald's and Starbucks successful store number to go the world's largest nutrient and beverage chain, reported a spike successful profits connected Wednesday arsenic it laid retired further enlargement plans.

The results came aft Mixue raised $444 cardinal successful a bumper Hong Kong listing, with the banal jumping much than 40 percent connected its March 3 debut and trading astatine astir treble its connection terms this week.

The steadfast -- known for beverages usually priced astir $1 -- had 41,584 stores successful China and different 4,895 dispersed crossed 11 countries arsenic of the extremity of past year, Mixue said successful an speech filing connected Wednesday.

Revenue accrued 22 percent to $3.4 cardinal successful 2024, which the institution attributed mostly to "increased gross generated from income of goods and equipment, and to a lesser extent, from franchise and related services".

Profit for the twelvemonth jumped 40 percent to $613 million.

Mixue, whose sanction translates to "honey snowfall crystal city", was founded by 2 brothers successful the Chinese hinterland state of Henan successful 1997 arsenic a shaved crystal shop.

The Zhengzhou-headquartered steadfast rapidly expanded crossed China and became a deed with frugal young consumers, disrupting a assemblage erstwhile dominated by premium brands.

Mixue stores -- recognisable by their agleam reddish signs and smiling snowman mascot -- became ubiquitous successful lower-income Chinese cities, offering freshly made effect drinks, beverage drinks, crystal pick and coffee.

Nearly 60 percent of Mixue stores successful China are successful cities categorised by the institution arsenic "third-tier oregon below".

Mixue says it relies connected a franchise exemplary to turn its brick-and-mortar network, but "franchise and related work fees are not our superior sources of revenue".

Instead, it makes astir of its money from supplying nutrient materials, instrumentality and packaging needed to tally its stores.

The institution said Wednesday that it volition "continue to elevate the breadth and extent of our proviso chain" successful China, portion remaining "focused connected cultivating the Southeast Asia market".

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Source: AFP