Shen Zhen Shang Bao·2025-11-28 16:17Core Viewpoint - Chow Tai Fook's stock price has experienced a decline despite a significant increase in gold prices this year, indicating potential market challenges and consumer behavior shifts in response to high gold prices [1][2] Group 1: Stock Performance - Chow Tai Fook's stock closed at HKD 13.65 on November 28, down 0.80%, marking a cumulative decline of 10.43% over three consecutive days [1] - Year-to-date, Chow Tai Fook's stock has risen by 112.95% [1] Group 2: Gold Price Trends - As of November 27, the London spot gold price reached USD 4,153.95 per ounce, with a year-to-date increase of 52% [1] - The in-store gold price at Chow Tai Fook reached CNY 1,321 per gram, with some high-end products priced at CNY 2,000 per gram due to additional craftsmanship costs [1] Group 3: Consumer Behavior - Despite high gold prices, sales have not declined compared to last year, with an increasing number of young consumers purchasing gold as an investment [1] - The high-end store, Chow Tai Fook Huiguan, focuses on premium gold products and has maintained its number of locations in Shenzhen [1] Group 4: Financial Performance - For the six months ending September 30, 2025, Chow Tai Fook reported a revenue of HKD 38.986 billion, a year-on-year decrease of 1.1%, while net profit slightly increased by 0.1% to HKD 2.534 billion [1] - The gross profit margin decreased to 30.5% from 31.4% in the previous year [1] Group 5: Retail Market Dynamics - The retail value in mainland China decreased by 1.1%, primarily due to the closure of 611 underperforming stores [2] - First-tier cities showed a retail value increase of 8.7%, while lower-tier cities experienced declines of 1.8%, 6.2%, and 4.8% respectively [2] - The retail markets in Hong Kong and Macau grew by 6.5% and 16.7%, respectively, indicating a divergence in consumer spending patterns [2]