As of September 30, 2024, Luk Fook Group's revenue was HKD 5.45 billion, a year-on-year decrease of 27.2%, primarily due to a decline in gold product sales caused by record high gold prices. However, the gross margin increased by 4.9 percentage points to 32.7% due to rising gold prices, although gross profit still fell by 14.4% to HKD 1.78 billion. During the period, profit decreased by 55.7% to HKD 417 million, and excluding gold hedging losses, the adjusted profit decline narrowed to 27.1%. The company intends to declare an interim dividend of HKD 0.55 per share, with a payout ratio of 74%. Management pointed out that the surge in gold prices led to a shift from gains to losses in gold hedging, impacting operating profit, which decreased by 53.0% to HKD...Show More

As of September 30, 2024, Luk Fook Group's revenue was HKD 5.45 billion, a year-on-year decrease of 27.2%, primarily due to a decline in gold product sales caused by record high gold prices. However, the gross margin increased by 4.9 percentage points to 32.7% due to rising gold prices, although gross profit still fell by 14.4% to HKD 1.78 billion. During the period, profit decreased by 55.7% to HKD 417 million, and excluding gold hedging losses, the adjusted profit decline narrowed to 27.1%. The company intends to declare an interim dividend of HKD 0.55 per share, with a payout ratio of 74%. Management pointed out that the surge in gold prices led to a shift from gains to losses in gold hedging, impacting operating profit, which decreased by 53.0% to HKD 536 million. Despite this, management holds a cautiously optimistic outlook for the future, planning to continue expanding in the mainland market and actively explore overseas markets, anticipating an improvement in business performance in the second half of the fiscal year. The company will focus on expanding the mainland market, brand promotion strategy, and operational efficiency to drive future growth. Looking ahead, Luk Fook Group will continue to tackle the challenges posed by gold price fluctuations and mitigate the impact of declining sales by improving gross margin. The mainland government's policy support is expected to promote a recovery in the retail sector, and the company plans to net approximately 15 new stores in overseas markets within this fiscal year. Management emphasized that despite facing challenges, the company maintains a cautiously optimistic view of its medium to long-term business prospects.