Chow Sang Sang Revenue Improves Amid Strong Gold Demand

Chow Sang Sang’s revenue rose in the first half, thanks to growth in its main collections and continued demand for gold jewelry.

Revenue for the first six months that ended June 30 gained 17% year on year to HKD 12.88 billion ($1.64 billion), the Hong Kong-based jeweler said Wednesday. Retail sales increased 18% to HKD 12.71 billion ($1.62 billion), as profit soared 139% to HKD 2.15 billion ($274.6 million). Chow Sang Sang also generates revenue from “other businesses.”

During the first quarter, same-store sales – those at branches open for at least 12 months – advanced 7% year on year in China and 46% in Hong Kong and Macau. However, in the second quarter China continued to improve, rising 17%, while Hong Kong and Macau’s growth dropped to 30%. For the first half, same-store sales increased 11% on the mainland and 38% in Hong Kong and Macau.

Despite volatile gold prices in China, key collections, including Cultural Blessings and Noir, recorded strong growth. Hong Kong and Macau reported high local demand for gold jewelry and fixed-price jewelry, as other products also supported overall performance.

The jeweler shut a net 47 stores during the six-month period, mostly in mainland China. The group continued to optimize its retail network through selective store openings and closures, with a focus on productivity, location quality, and brand experience, it added.

Image: A Chow Sang Sang store in Beijing, China. (Cathy Tam)