Jeweller Luk Fook rides recovery wave
Jeweller Luk Fook cited improving market sentiment for same-store sales growth of 22 per cent during the first quarter.
Sales of gold products rose 26 per cent and of gem-set jewellery by 18 per cent.
Chairman and CEO Wong Wai Sheung said same-store sales rose by an even higher rate in the fast-recovering Hong Kong and Macau markets: 26 per cent overall, with gold sales up 34 per cent and gem-set jewellery by 19 per cent.
“The excellent sales performance of hard gold products, which had relatively lower average selling price (ASP) and were categorised under gem-set, drove the sales growth and substantially dragged down the ASP of gem-set jewellery products in [the] last financial year,” he said.
On the mainland, with a relatively higher base than the Hong Kong and Macau market, same-store sales slipped by 2 per cent, a similar rate to the preceding quarter.
During the quarter, Luk Fook opened one new shop of its own and 34 licensed stores on the mainland. It closed its sole licensed store in Korea, and opened one in Malaysia, taking the total network to 1664, a net increase of 33.