Luk Fook warns of heavy sales decline in June
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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
Questions & Answers
Q.Which specific financial metrics experienced a significant drop for Luk Fook Holdings in the June quarter?
Which specific financial metrics experienced a significant drop for Luk Fook Holdings in the June quarter?
Revenue for the Hong Kong-headquartered company was down 60 percent year on year for the three months. Profit for the same period saw an even steeper decline, falling by approximately 80 per cent.
Q.What is the current sales outlook for Luk Fook Holdings in Mainland China, according to the CEO?
What is the current sales outlook for Luk Fook Holdings in Mainland China, according to the CEO?
CEO Wai Sheung Wong noted signs of improvement in Mainland China since June. In July, overall same-store sales in Mainland China improved progressively, showing a narrowed decline compared to June’s low double-digit drop.
Q.How do the sales trends in Hong Kong and Macau compare to those in Mainland China?
How do the sales trends in Hong Kong and Macau compare to those in Mainland China?
In contrast to Mainland China, sales in Hong Kong and Macau were negatively affected by an unstable outbreak in July. The decline widened from June’s 60-per-cent drop in these regions.
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