Sales lose sparkle for Luk Fook
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In the face of a continuing sluggish market, Hong Kong-based Luk Fook Jewellery posted a 25 per cent drop in overall sales in the three months to December 31 against the previous two quarters.
Its same-store sales growth (SSSG) for mainland China was down 10 per cent, despite its gemset jewellery products gaining 2 per cent grown. The SSSG of the Hong Kong and Macau market dropped 26 per cent.
As at December 31, the group had 159 self-managed shops – 96 in China, 47 in Hong Kong, 10 in Macau and six overseas, one being established in Toronto, Canada, in the current quarter. There were 1260 licensed shops in China with one in Korea. Altogether, there were 1420 Luk Fook shops worldwide, including 1356 in China and outlets in Australia and the US.
Questions & Answers
Q.Which market experienced the largest decline in same-store sales growth for Luk Fook Jewellery?
Which market experienced the largest decline in same-store sales growth for Luk Fook Jewellery?
The Hong Kong and Macau market saw the largest decline in same-store sales growth, dropping by 26 per cent. Mainland China's same-store sales growth was down 10 per cent during the same period.
Q.How many Luk Fook shops are self-managed compared to licensed, and where are they primarily located?
How many Luk Fook shops are self-managed compared to licensed, and where are they primarily located?
Luk Fook operates 159 self-managed shops globally, with 96 in China, 47 in Hong Kong, 10 in Macau, and six overseas. There are 1260 licensed shops in China, plus one in Korea, making a total of 1420 shops worldwide.
Q.Did any product categories show positive sales growth despite the overall decline?
Did any product categories show positive sales growth despite the overall decline?
Yes, Luk Fook's gemset jewellery products in mainland China experienced positive growth. This category gained 2 per cent, despite the overall same-store sales growth for mainland China being down by 10 per cent.