Jul. 31 at 7:43 PM
$CHA Seeing that many here advertise revenue growth of this company, so why this stock down so much since it started trading:
It doesn't have any growth. If you look at the last report, YoY revenue grew by 35.4%, but that quarter comped to 2,506.57M RMB revenue quarter, next report will comp to 3000M RMB quarter. Last 3 reported quarters had revenues: 3,541.25 3,334.43 3,392.71, so that was a revenue decrease followed by flat revenues.
The reason is that, while they are opening more locations, same store revenue is going down. China is in deflationary spiral and people there are thrifty and they're not gonna go into credit card debt over discretionary spending like Americans