Mixue Closes 428 Outlets, Is It Losing Money?
The Chinese beverage giant, Mixue Ice Cream & Tea, is beginning to scale back its global expansion. After years of rapid growth in Southeast Asia, the company is instead closing hundreds of outlets abroad, most of which are located in Vietnam and Indonesia.
According to VnExpress, the number of Mixue outlets overseas has decreased by 428 units over the past year. These closures are concentrated in the Southeast Asian market, particularly in Vietnam and Indonesia, which were previously the main engines of the brand’s expansion.
Expansion Continues, But More Selective
Although it is closing hundreds of outlets, Mixue is still continuing its expansion into new markets such as the United States and Kazakhstan.
The company is also entering Malaysia and Thailand under a different brand, Lucky Cup. This shows that the expansion strategy is not being halted, but rather pursued with a more selective and measured approach.
Indonesia and Vietnam remain Mixue’s largest overseas markets, but the previous massive expansion has begun to cause market saturation. The high number of outlets in a single area has increased internal competition and pressured profitability, so the company needs to adjust its strategy.
Store and Location Transformation
In response, Mixue is shifting from small outlets to larger ones with more strategic locations. This change includes larger preparation areas, storefronts facing main roads, and a focus on premium locations to enhance appeal and operational efficiency.
Mixue’s main advantage remains its affordable product prices, supported by strong upstream-to-downstream supply chain control. This strategy allows the company to maintain competitiveness amid fierce competition, especially in the affordable beverage segment.
Financial Performance Continues to Grow
Amid these consolidation efforts, Mixue’s financial performance is showing significant growth.
In 2025, Mixue’s revenue increased by 35% to CNY (RMB) 33.56 billion, while net profit rose 33% to RMB 5.93 billion, reflecting that the efficiency strategy is not hindering overall business expansion.