Hong Kong Sales Drive Luk Fook Growth

RAPAPORT... Luk Fook's same-store sales increased 22% year on year inthe first fiscal quarter, driven by a 26% rise in Hong Kong and Macau. Same-store gold sales - at Luk Fook outlets open formore than a year - in Hong Kong and Macau jumped 34% in the three monthsending June 30, while gem-set jewelry purchases climbed 19%. The jeweler released figures for sales atshops it operates itself, but excluded franchises. This year, Luk Fook sold higher-priced items in its gem-set jewelry category than it had in the previous year, accounting for the category's boost in the Hong Kong market, the companysaid last week. Overall same-store sales in mainland China declined 2%, withrevenue from gold products falling 6%, while sales of gem-set jewelry rose 10%over the period. At the end of the period, Luk Fook had 225 self-operatedstores, of which 156 were in mainland China, 48 in Hong Kong, 10 in Macau and11 in other locations. The retailer also has 1,439 licensed shops. Image: Hpalsgm