Luk Fook warns of heavy sales decline in June

Jeweler Luk Fook Holdings has warned shareholders of a “substantial decline” in both sales and profit for the June quarter. Revenue for the Hong Kong-headquartered company was down 60 percent year on year for the three months, with profit down by around 80 per cent.

However, CEO Wai Sheung Wong said there are signs of improvement since June in Mainland China, if not at home.

“The overall same-store sales of all shops including self-operated and licensed shops in Mainland China in July improved progressively with narrowed decline as compared to the low double-digit drop in June.”

In Hong Kong and Macau however, July sales were affected by the unstable outbreak, the decline widening from June’s 60-per-cent drop.

“Therefore, the group’s overall trend of revenue and profit for the period from July to Sep