Singapore-based coffee chain Flash Coffee has raised a total of $50 million in its Series B funding round led by White Star Capital, with existing investors including Delivery Hero, Geschwister Oetker, and Conny & Co also participating.
The company plans to use the funds to achieve group-level profitability, expand its footprint across the Asia Pacific region, and develop sales performance of existing stores.
Flash Coffee has seen exponential growth in recent years, with a 23-fold increase in year-on-year revenue in 2021 and a four-fold increase in 2022. The company achieved more than 100 percentage points year-on-year EBITDA improvement on a group level in the same year, and is on track to reach group-level profitability in 2024.
The coffee chain plans to expand deeper into its most mature market, Indonesia, where it already has 92 profitable stores. Flash Coffee will officially launch in the city of Surabaya in July 2023, following its successful entry into Bandung.
“We are grateful to have the continued backing of our shareholders in this financing round. With 100% of our 92 stores in Indonesia being profitable, we have found a solid product market fit and are eager to expand our presence into additional cities in Indonesia to further drive sustainable growth,” said David Brunier, Founder & CEO of Flash Coffee.
Brunier said the company was “confident that we will reach our overarching goal of being profitable on a group level next year.” Joe Wei, General Partner of White Star Capital, said the company was “well-positioned to become a leading coffee chain in the region.”
Flash Coffee’s success has been driven by its focus on using technology to provide high-quality specialty coffee to customers in Singapore, Indonesia, Thailand, Hong Kong, and South Korea. The company plans to double down on technology and product innovation as it continues to grow.
