Summary of the Conference Call on the Gold and Jewelry Industry Industry Overview - The gold and jewelry industry is experiencing significant changes due to rising gold prices, which have increased by approximately 50% year-on-year during the 2025 Golden Week, impacting retail sales positively despite a slight decline in weight sold [1][2][21]. Key Points and Arguments Sales Performance - Overall sales growth during the 2025 Golden Week was 5.7%, with individual brand performances varying: - Lao Feng Xiang: +6.3% - Zhou Da Sheng: -1.4% - Lao Miao: +1.8% - Chao Hong Ji: +18% - Zhou Da Fu: +7.8% - China Gold: -7.3% [2][21]. Pricing and Profitability - The average transaction price for Lao Feng Xiang increased from 80-120 RMB to 170-180 RMB due to rising gold prices, while profit per gram for stores dropped from 120-150 RMB to 50-80 RMB [1][5][6]. - Gross margins have decreased by 3-4 percentage points, with fine jewelry products at approximately 22%-25% and general products at 15%-18%, leading to an overall margin of about 18%-20% [7][8]. Brand Strategies - Zhou Da Fu has adjusted its product structure, increasing the proportion of fixed-price products from 10% to over 25%, significantly improving its gross margin [3][12]. - Chao Hong Ji has successfully attracted younger consumers through IP updates, achieving a national sales increase of 52% [1][4]. Store Management and Market Dynamics - Major brands are in a phase of store closures, with Zhou Da Sheng closing 78 stores, Lao Feng Xiang 48, and Zhou Da Fu reducing from over 7,000 to 5,600 stores. Chao Hong Ji is the only brand expanding its store count [10][11]. - The management of franchisees has become more relaxed, leading to widespread discounting practices among franchisees to remain competitive [10]. Future Outlook - The industry anticipates a growth rate of 10% to 20% in 2026, driven by wedding demand and expectations of continued gold price increases [22][25]. - Current inventory levels have risen, with stores holding 17-18 kg compared to 12 kg previously, complicating predictions for when consumption will normalize [23]. Taxation and Compliance Issues - Hong Kong brands face frequent tax audits due to full invoicing practices, leading to significant tax liabilities for franchisees [26][27]. - Domestic brands utilize strategies to minimize tax burdens, such as reducing invoicing amounts [29]. Consumer Behavior - The sensitivity of consumers to high prices is increasing, prompting brands to optimize their market presence and inventory management [18][19]. Additional Important Insights - The proportion of old-for-new exchanges is around 20%, contributing significantly to sales revenue as gold prices rise [30]. - The industry is expected to undergo cyclical changes, with potential new product trends emerging that could lead to a new store opening cycle in the future [20].

Market Overview - The jewelry sector increased by 1.18% on October 14, with Mankalon leading the gains [1] - The Shanghai Composite Index closed at 3865.23, down 0.62%, while the Shenzhen Component Index closed at 12895.11, down 2.54% [1] Individual Stock Performance - Mankalon (300945) closed at 21.29, up 3.96% with a trading volume of 387,200 shares and a turnover of 829 million yuan [1] - Xinhua Jewelry (002731) closed at 13.20, up 2.56% with a trading volume of 237,900 shares and a turnover of 318 million yuan [1] - Other notable performers include: - Caizhi Co. (665569) at 14.81, up 1.93% [1] - Laofengxiang (600612) at 50.38, up 1.78% [1] - Xinxitongling (603900) at 10.48, up 1.75% [1] Capital Flow Analysis - The jewelry sector saw a net inflow of 138 million yuan from institutional investors, while retail investors experienced a net outflow of 47.98 million yuan [2] - Major stocks with significant capital inflows include: - ST Xinhua Jin (600735) with a net inflow of 63.15 million yuan [3] - Chaohongji (002345) with a net inflow of 25.95 million yuan [3] - China Gold (600916) with a net inflow of 16.89 million yuan [3]

Core Points - The Shanghai Composite Index is currently at 3870.35 points, above the annual line, with a decline of 0.49% and a total trading volume of 20,965.31 billion yuan [1] - A total of 67 A-shares have surpassed the annual line today, with notable stocks showing significant deviation rates [1] Summary by Category Stock Performance - Stocks with the highest deviation rates include: - Ainoju (艾能聚) with a deviation rate of 8.12% and a daily increase of 9.39% [1] - LiuGong (柳工) with a deviation rate of 5.44% and a daily increase of 5.69% [1] - Asia Optical (亚世光电) with a deviation rate of 5.10% and a daily increase of 9.99% [1] - Other stocks that have just crossed the annual line include: - Guangzhou Restaurant (广州酒家) and Junzheng Group (君正集团) with smaller deviation rates [1] Trading Data - The trading data for stocks that broke the annual line includes: - Ainoju: Latest price 20.62 yuan, annual line 19.07 yuan, turnover rate 22.19% [1] - LiuGong: Latest price 11.51 yuan, annual line 10.92 yuan, turnover rate 7.78% [1] - Asia Optical: Latest price 23.13 yuan, annual line 22.01 yuan, turnover rate 12.90% [1]

Core Points - The company has established a new subsidiary named Shanghai Laofengxiang Zhenpin Trading Co., Ltd. to engage in luxury goods sales [1][2] - The subsidiary was registered on October 11, 2025, with a registered capital of 50 million RMB [2][3] - The business scope of the new subsidiary includes a wide range of products such as jewelry, art crafts, cosmetics, and various retail and wholesale activities [3] Summary of Basic Information - The board of directors approved the establishment of the subsidiary on September 15, 2025 [1] - The subsidiary's registration was completed with the Shanghai Huangpu District Market Supervision Administration [2] - The legal representative of the new company is Li Jun [2] Business Scope - The subsidiary will sell various products including but not limited to jewelry, art crafts, cosmetics, and sports equipment [3] - It will also engage in import and export activities and provide packaging services [3] - The company is authorized to operate independently within the scope of its business license [3]

Core Viewpoint - The domestic gold jewelry prices in China have surpassed 1200 RMB per gram, indicating a significant increase in the market for gold jewelry [1] Price Summary - The current price of domestic gold jewelry is reported at 1215 RMB per gram [1] - Specific brand prices include: - Lao Feng Xiang at 1206 RMB per gram - Chow Sang Sang at 1213 RMB per gram - Lao Miao at 1218 RMB per gram [1]

Core Insights - The stock price of Lao Feng Xiang increased by 2.10% on October 14, reaching 50.54 CNY per share with a total market capitalization of 26.438 billion CNY [1] Group 1: Stock Performance - Lao Feng Xiang's stock has decreased by 3.22% year-to-date, with a 1.16% increase over the last five trading days, a 5.62% decrease over the last 20 days, and a 4.23% increase over the last 60 days [2] - As of June 30, 2025, the number of shareholders increased by 15.31% to 48,700, with an average of 0 circulating shares per shareholder [2] Group 2: Financial Performance - For the first half of 2025, Lao Feng Xiang reported a revenue of 33.356 billion CNY, a year-on-year decrease of 16.52%, and a net profit attributable to shareholders of 1.22 billion CNY, down 13.07% year-on-year [2] - The company has distributed a total of 8.606 billion CNY in dividends since its A-share listing, with 2.856 billion CNY distributed over the last three years [3] Group 3: Shareholder Composition - As of June 30, 2025, Hong Kong Central Clearing Limited is the fifth-largest circulating shareholder, holding 5.2755 million shares, a decrease of 971,900 shares from the previous period [3] - E Fund Consumption Industry Stock (110022) has exited the list of the top ten circulating shareholders [3]

Core Viewpoint - Shanghai Laofengxiang Zhenpin Trading Co., Ltd. has been established with a registered capital of 50 million yuan, focusing on jewelry wholesale and gold and silver product sales [1] Company Summary - The legal representative of the newly established company is Li Jun [1] - The company is co-owned by Laofengxiang (600612) and Shanghai Laofengxiang Diamond Processing Center Co., Ltd. [1] Industry Summary - The business scope includes jewelry wholesale, sales of gold and silver products, and domestic trade agency services [1]

股票简称：老凤祥 股票代码：600612 编号：临2025-047 一、基本情况 老凤祥股份有限公司（以下简称"公司"）于2025年9月15日召开了公司第十一届董事会第十九次（临 时）会议，审议通过了《关于控股子公司拟投资设立老凤祥奢品销售有限公司的议案》。根据《上海证 券交易所股票上市规则》《公司章程》等规定，本次投资设立子公司事项在公司董事会的审批权限内， 无需提交股东大会审议。具体内容详见公司于2025年9月16日在上海证券交易所网站 （www.sse.com.cn）披露的《老凤祥股份有限公司关于控股子公司拟投资设立老凤祥奢品销售有限公司 的公告》，公告编号：2025-039。 二、本次进展情况 老凤祥B 900905 老凤祥股份有限公司关于控股子公司投资设立老凤祥奢品销售有限公司的进展公告 本公司董事会及全体董事保证本公告内容不存在任何虚假记载、误导性陈述或者重大遗漏，并对其内容 的真实性、准确性和完整性承担法律责任。 近日，公司完成了上述奢品销售子公司的注册登记手续。经上海市黄浦区市场监督管理局核名，上述奢 品销售子公司全名为上海老凤祥臻品商贸有限公司，营业执照具体信息如下： 1.公司名称：上海老凤 ...

（文章来源：证券日报） 证券日报网讯 10月13日晚间，老凤祥发布公告称，公司于2025年9月15日召开了公司第十一届董事会第 十九次（临时）会议，审议通过了《关于控股子公司拟投资设立老凤祥奢品销售有限公司的议案》。近 日，公司完成了上述奢品销售子公司的注册登记手续。 ...

Group 1 - A new company, Shanghai Laofengxiang Zhenpin Trading Co., Ltd., has been established with a registered capital of 50 million RMB [1] - The legal representative of the new company is Li Jun [1] - The business scope includes wholesale of jewelry and precious metals, sales of gold and silver products, and domestic trade agency [1] Group 2 - The company is jointly held by Shanghai Laofengxiang Diamond Processing Center Co., Ltd. and Shanghai Laofengxiang Co., Ltd. [1]