With Its Continuous Global Expansion, La Kaffa’s Revenue of February is $159 Million. One of Its Brands, Duan Chun Zhen Beef Noodle, Officially Opens a Store in North Taiwan, Helping to Increase the Share of Food Products of the Group.

La Kaffa International Co., Ltd. (hereinafter referred to as “La Kaffa,” stock code of Taipei Exchange: 2732) today announced that its consolidated sales revenue of February 2016 was 159 million, increasing 5.26% than last month and increasing 21.21% compared to $131 million of the same period last year. The accumulated revenue of the first two months of 2016 was $309 million, increasing 19.19% compared to the same period last year. La Kaffa stated that the increased number of global stores had led to the growth of its revenue scale and the stable growth of sales and royalties. In addition, as Wagokoro Tonkatsu Anzu Ginza had been expanding in the second half of 2015, it can be expected that the consolidated sales revenue of each month of the first half of 2016 will generate a growth rate of two-digit percentage.

La Kaffa stated that in 2015, the group had continued to expand the stores. Wagokoro Tonkatsu Anzu Ginza had doubled the number of its new stores in the second half of 2015 to open stores in iconic department stores in North, Central and South Taiwan, significantly increasing La Kaffa’s revenue scale. In addition, both the nine-day holiday of Chinese New Year of 2016 and the nice weather had contributed to the growth of customers of

Chatime. Due to this long holiday, La Kaffa presented a high growth rate of 21.21%.

Moreover, as La Kaffa has been actively developing the markets overseas and established a high quality, professional and safe image. Chatime’s share in the global tea drink market continues to increase, and it also attracts more distributors around the world showing interest of distributing for other brands of the group. So far, because of these distributors, Zen Q and Bake Code have entered their local markets. La Kaffa stated that keeping a close and friendly relationship with local distributors could help promoting its brands to the world.

In the first quarter of 2016, La Kaffa stated, the expansion of food brands would be its major focus of this year. As food and meal items would be less affected by seasonal factors, and per customer transactions is also as 3 to 6 times as that of tea drinks, these brands could help increase the revenue scale of the group. Duan Chun Zhen, its new brand, had opened in Vieshow Cinema Xinyi, Taipei, on March 4th, helping this local brand of Hsinchu enter the market of North Taiwan. Its sales on the opening day were impressive, and due to the high flow of customer traffic in the cinema, its table turnover rate also had continued to increase. With this new brand, La Kaffa can expect to see a stable growth of revenue.