Chow Tai Fook Enjoys Continued Gains

RAPAPORT… Chow Tai Fook’s sales jumped in the second fiscal quarter,
confirming the Hong Kong-based jeweler’s recovery following a slump in the
Greater China market.



Retail sales rose 15% year on year in mainland China and by 12% in
Hong Kong and Macau in the three months ending September 30, the
company reported Wednesday. Same-store sales — at outlets that were open for at least one year — advanced 9% on the mainland and 13% in Hong Kong and Macau.


While same-store sales of gem-set jewelry declined 1% on the
mainland, the average selling price there increased to $833 (HKD 6,500) from
$782 (HKD 6,100) in the previous quarter.


In Hong Kong and Macau, same-store revenue from gem-set
jewelry rose 7% after 13 consecutive quarters of decline. The average price
dipped to $1,371 (HKD 10,700), but sales volume grew significantly, the
retailer explained.


Chow Tai Fook’s revenues have improved this year following
sliding sales in the previous two years. Sales in the first fiscal quarter to
June 30 rose 17% in mainland China and 7% in Hong Kong and Macau, underlining
the retailer’s recovery.