2025-06-12 08:30Financial Performance - Chow Tai Fook Jewellery Group reported a significant increase in revenue, achieving HKD 30.5 billion for the fiscal year ending March 31, 2025, representing a year-on-year growth of 15%[3]. - The company reported a net profit of HKD 3.6 billion, an increase of 18% compared to the previous year, indicating strong financial health and operational performance[3]. - The Group's revenue decreased by 17.5% year-on-year to HK$89,656 million in FY2025, influenced by macro-economic externalities and elevated gold prices[34]. - Operating profit increased by 9.8% year-on-year to HK$14,746 million, with an operating profit margin expanding by 400 basis points to 16.4%[34]. - The Group's Return on Equity (ROE) reached 21.9%, an improvement from the 5-year historical average of 18.4%[34]. - Profit attributable to shareholders was HK$5,916 million, with earnings per share of HK$0.59 and a proposed final dividend of HK$0.32 per share, totaling HK$0.52 for the year[92]. - The gross profit margin improved to 29.5% in FY2025, up from previous years[48]. - The Group's revenue for the first half of FY2025 was HK$39,408 million, a year-on-year decline of 20.4%[166]. - For FY2025, the group reported a revenue of HK$39,408 million in the first half and HK$50,248 million in the second half, reflecting a year-on-year decrease of 20.4% and 15.1% respectively[179]. Market Expansion and Retail Strategy - The Group's retail network expanded to over 3,000 points of sale globally, with a notable increase in e-commerce sales contributing to 25% of total revenue[13]. - Chow Tai Fook aims to continue its brand transformation journey, targeting a 20% increase in customer footfall in new image stores over the next fiscal year[28]. - The company plans to explore strategic acquisitions to enhance its market presence and diversify its product offerings[3]. - The Group is actively expanding into Southeast Asia and other regions, leveraging its extensive overseas operational experience to implement high-quality expansion strategies[105]. - Chow Tai Fook opened a net of 3 new jewellery POS in Thailand, Malaysia, and Japan during the year, optimizing store locations for better market presence[149]. - The company is set to unveil new image stores in Singapore and Canada in FY2026 as part of its broader brand transformation and international growth strategy[149]. Product Development and Innovation - The introduction of new signature jewellery collections that blend traditional craftsmanship with modern designs has been a key focus, enhancing customer engagement and brand loyalty[28]. - The Group has allocated HKD 500 million for research and development in innovative jewellery technologies over the next three years[3]. - The CTF Rouge Collection and Chow Tai Fook Palace Museum Collection each achieved sales of approximately HK$4 billion, exceeding annual targets[34]. - The CTF Joie Collection was launched in April 2025, integrating culturally significant motifs into contemporary designs[99]. - The Group unveiled the exclusive CTF PET jewellery in March 2025, tapping into the growing pet economy and catering to emerging consumer trends[119]. - The Chow Tai Fook Jewellery Group launched two new iconic product lines, the CTF Chuan Fu Series and the CTF Gu Gong Series, which have exceeded sales expectations since their introduction[104]. Sustainability and Corporate Responsibility - The company has committed to sustainable practices, with plans to reduce carbon emissions by 30% by 2030 as part of its long-term strategy[13]. - MONOLOGUE launched its first gold collection made entirely from 999.9 recycled gold in January 2025, aligning with the values of younger consumers and promoting sustainable practices[122]. - The company plans to expand its inclusive internship programme in FY2026, reinforcing its commitment to diversity, equity, and inclusion[130]. Customer Engagement and Loyalty - The revamped CTF Club loyalty program reached a membership base of 53.7 million by the end of FY2025, with existing members contributing approximately 65% to sales in Mainland China, Hong Kong, and Macau[127]. - Average spending per member increased by 15% in Mainland China and 17% in Hong Kong and Macau during FY2025[127]. - The loyalty program's multi-currency CTF Point Scheme is set to extend to other markets within the next 12 months, enhancing customer experience globally[127]. Economic and Market Challenges - Economic uncertainty and record-high gold prices led to a 15% year-on-year decline in jewellery retail sales in Hong Kong and a 25.3% drop in Macau during the period from April 2024 to March 2025[143]. - Revenue in Mainland China fell 16.9% to HK$74,556 million in FY2025, with wholesale revenue declining by 17.5% due to macro-economic uncertainties[195]. - The average London gold price increased by 40.7% year-on-year, significantly impacting the group's financial performance[185].