Chow Tai Fook China Sales Rise

RAPAPORT… Sales in Chow Tai Fook’s mainland China stores
grew strongly in the first fiscal quarter, while purchases in Hong Kong and
Macau slowed.


Retail sales jumped 24% in mainland China in the three
months ending June 30, with same-store sales — at branches open for at least a
year — rising 11%, the jeweler reported Tuesday. Retail revenues in Hong Kong
and Macau fell 6%, while same-store sales slipped 11%. Same-store sales only
include shops that Chow Tai Fook operates itself, as opposed to franchises.


“[The] Hong Kong and Macau market was affected by a tough
base comparison and cautious consumer sentiment amid an uncertain [economic]
environment,” the company said.


Gem-set jewelry sales climbed 8% on a same-store basis in
China, but declined 16% in Hong Kong and Macau. Revenue from gold jewelry
surged 12% in China, as the average weight per product sold increased, as did
the average selling price. Sales of gold jewelry dropped 13% in Hong Kong and
Macau. The group did not provide exact sales figures.

Image: A Chow Tai Fook concept store in Hong Kong. (Wpcpey)