Chow Tai Fook increased its revenue by 38 per cent in the opening two months of the financial year amid the relaxation of pandemic restrictions.
In the past year, the company reported a sales decline of more than four percent to $HK94.68 billion ($AU17.89 billion).
Chow Tai Fook is the second largest jewelry retailer by market value in the world, and in 2022 the company will reportedly open more than 1,600 new points of sale in mainland China.
“The [Chinese] The government’s focus on getting businesses back in the mainland will be a positive catalyst to drive retail and economic activity in both the mainland and Hong Kong and Macau, and is supportive of our fiscal year 2024 performance,” the company said in a statement.
“We are encouraged by the gradual resumption of business in our key markets and expect fiscal [year] 2024 to be a year of recovery and normality with same-store sales to resume expansion in the mainland and Hong Kong and Macau.”
Chow Tai Fook’s aggressive mainland expansion takes the company’s store count beyond 7,200, well ahead of a planned target date of 2025.
Chairman Henry Cheng said: “As one of the largest jewelry companies in the world, with almost 95 years of history and experience in Mainland China and Hong Kong, Chow Tai Fook is well-positioned to seize emerging opportunities and build on our capabilities to expand the business.”
“Our five strategic priorities will enable us to strengthen our competitiveness, enhance earnings quality and drive sustainable value creation for our stakeholders.”
The company attributed the positive start to the year to the return of tourism to the region and higher spending on bridal jewelery due to pent-up demand from the pandemic.
More reading
Positive jewelery sales following ease of restrictions
Significant jewelry sales increase for Chow Tai Fook
New leadership for Chow Tai Fook
Pandemic restrictions damage Asian jewelry retail sales
Significant sales jumps for Chow Tai Fook and Luk Fook
