Chow Sang Sang Holdings International Ltd
HKEX:116
Chow Sang Sang Holdings International Ltd
Chow Sang Sang Holdings International Ltd. engages in the manufacturing and jewellery. The firm operates its business through four segments. The Manufacture and retail of jewellery segment engages in the manufacture and retail of jewellery and operates retail stores. The Wholesale of Precious Metals segment engages in the trade of precious metals. The Securities and Futures Broking segment provides brokering and dealing services for securities and futures. The Other Businesses segment engages in the investment in properties and other jewellery related businesses.
Chow Sang Sang Holdings International Ltd. engages in the manufacturing and jewellery. The firm operates its business through four segments. The Manufacture and retail of jewellery segment engages in the manufacture and retail of jewellery and operates retail stores. The Wholesale of Precious Metals segment engages in the trade of precious metals. The Securities and Futures Broking segment provides brokering and dealing services for securities and futures. The Other Businesses segment engages in the investment in properties and other jewellery related businesses.
Strong Revenue Growth: Group turnover grew by about 20% in the first half, driven by both China and Hong Kong markets.
Profit Jump: Profit attributable to equity holders increased by around 54%-55%, with operating profit up about 45%.
Margin Improvement: Gross margin improved to 24.7%, up 30 basis points from last year despite a higher mix of gold products.
China Expansion: Company targets around 50 new stores in China in 2018, focusing on self-run stores and the mid-to-entry level segment.
E-commerce Growth: Online sales in China rose 23% in the first half and now account for 14%-15% of China revenue, mostly via third-party platforms.
Positive Start to Q3: July and August saw continued positive same-store sales growth, with China in the teens and Hong Kong in high teens or above.
Healthy Balance Sheet: The company holds HKD 1.6 billion in cash, and capital expenditure for the year is expected to be HKD 250-300 million.
Dividend Increased: Interim dividend of $0.15 per share was proposed, 66% higher than last year.
