Date
24 March 2017
Weaker spending by mainland visitors has affected Chow Tai Fook's sales in recent months. Photo: HKEJ
Weaker spending by mainland visitors has affected Chow Tai Fook's sales in recent months. Photo: HKEJ

Chow Tai Fook suffers further fall in same-store sales

Chow Tai Fook Jewellery Group (01929.HK) has seen its same-store sales for the quarter ended March shrink 16 percent from a year ago, after an 18 percent slide in the preceding three months, Hong Kong Economic Journal reported Thursday.

Sales in Hong Kong, Macau and other non-mainland markets fell 26 percent, compared with 21 percent decline in the quarter ended December, the report said.

Same-store sales in mainland China fell 9 percent in the period, sending the overall retail sales of the group down 9 percent in its fiscal fourth quarter.

The company believes the sales decline in Hong Kong and Macau came as a growing number of mainlanders are travelling to other overseas destinations and doing their shopping there. 

In other news from the retailing sector, luxury jewelry retailer Cartier revealed price-cut plans Wednesday amid changes in global foreign exchange rates.

In a notice to distributors, Cartier said that selling prices in Hong Kong and Macau will have to be adjusted down 5 percent, the report said.

The adjustment is necessary to prohibit parallel trades given the euro’s depreciation against the Hong Kong dollar in recent months, the company was quoted as saying.

Prices in mainland China and the Middle East have been slashed 10 percent, with those in the United States are being cut 5 percent. 

Following the changes, retail prices in Hong Kong are still lower compared to those than in mainland China.

Europe and Japan, however, will see prices go up 7 percent and 11 percent, respectively.

Translation by Vey Wong

[Chinese version中文版]

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