I am developing an Android app using Kotlin and Compose. When I run it from Android Studio on an actual device, it takes 1-2 seconds to display data after starting.
Will the performance increase or decrease when I launch/release it on the Play Store?
App bundles are generally more optimised than APKs, but still, it depends. You can refer to this for more details. If your API or some other service is taking 1-2 seconds, then obviously there won't be much difference, but if some animation or a UI component is causing that delay, then yes, performance will be better.
You should consider profiling your app to know the exact issue. You can check this to profile your app.