Chow Tai Fook’s sales slipped in the second fiscal quarter as weakness in China outweighed strong demand in Hong Kong and Macau.
Group revenue slid 0.5% year on year for the three months that ended September 30, the Hong Kong-based jeweler said last week. Retail sales in Hong Kong and Macau, which account for 17% of the company’s total revenue, jumped 33%. In China – which constitutes the remaining 83% – sales fell 5%.
“The decline in mainland [sales] during the quarter was mainly attributable to network optimization and a high comparison base in the corresponding period last year,” the company explained.
Meanwhile, same-store sales for fixed-price jewelry improved 13% in Hong Kong and Macau and 11% in China. Weight-based gold products spiked 44% in Hong Kong and Macau and went up 1.7% on the mainland.
During the quarter, Chow Tai Fook closed a net 240 locations on the mainland, bringing its overall store count to 5,192.
The company expects to publish its profit report for the first fiscal half of 2027 at the end of November. Net profit likely rose 90% to 100% year on year, reflecting a fair-value gain on gold loan contracts, compared with a loss in the same period last year. The group also anticipates a sales increase in its key markets.
Image: A Chow Tai Fook store in Bangkok, Thailand. (Chow Tai Fook)
