Company Overview - Zhou Li Fu Holdings Limited, established in 2004, is a well-known gold and jewelry retail enterprise in China, focusing on the research, design, brand operation, and retail channel management of jewelry products such as gold, platinum, K-gold, diamonds, and colored gems [1] - As of 2024, Zhou Li Fu ranks fifth among Chinese jewelry brands by the number of stores and sixth in total merchandise transaction volume, with a market share of 6.2% [1] Financial Performance - In 2022, the company reported revenue of 31.02 billion RMB, with a gross margin of 38.7% and a net profit of 5.75 billion RMB, resulting in a net profit margin of 18.5% [2] - Revenue surged to 51.50 billion RMB in 2023, but the gross margin dropped to 26.2%, with net profit increasing to 6.60 billion RMB and a net profit margin of 12.8% [2] - For 2024, revenue is projected at 57.18 billion RMB, with a further decline in gross margin to 25.9% and net profit of 7.06 billion RMB, leading to a net profit margin of 12.4% [2] Revenue Trends - In 2023, the company's operating revenue grew significantly by 66.0%, but the growth rate is expected to slow to 11.0% in 2024, indicating a weakening growth momentum [3] - High gold prices have suppressed consumer purchasing desire, resulting in a 24.69% year-on-year decline in gold jewelry consumption [3] - The proportion of franchise income decreased from 55.4% to 50.5% [3] Gross Margin Analysis - The overall gross margin decreased by 12.8% during the reporting period, primarily due to a significant drop in 2023 [4] - The increase in gold sales proportion (84.35% of revenue in 2024) has led to higher procurement costs due to rising gold prices (approximately 30% increase from 2023 to 2024), compressing gross margin [4] - The gross margin for gold products is low (around 6% in 2024), contributing to the overall decline in gross margin [4] Net Profit Insights - Net profit has consistently increased from 2022 to 2024, but the growth rate has slowed, with net profit margin decreasing from 18.5% to 12.4% [6] - The rise in low-margin gold products and online business has diluted the gross margin structure [6] - Fixed costs, particularly management expenses, have increased, with a 10% rise in 2024 to 276 million RMB, driven by digitalization and online business expansion [6] Balance Sheet Overview - As of 2024, net assets increased by 13.6% to 3.098 billion RMB, with a current ratio of 2.57, indicating a low-leverage advantage for the company [7] - Zhou Li Fu operates over 4,100 stores nationwide, with over 96% being franchise stores, allowing for rapid expansion through a light-asset model [7] Competitive Positioning - The company is recognized as one of the leading brands in wedding jewelry in China, benefiting from positive word-of-mouth in lower-tier cities [8] - Zhou Li Fu has established an efficient supply chain management system, with self-built platforms accounting for approximately 76.9% of sales in 2024 [8] Investment Risks - The company heavily relies on gold products, which constituted 84.35% of revenue in 2024, limiting profitability flexibility due to high standardization and intense competition [9] - Fluctuations in raw material prices, particularly gold, pose significant risks, with a 30% increase in international gold prices from 2023 to 2024 impacting costs [9] - The franchise model presents management challenges and operational uncertainties, with a net reduction of 254 stores in 2024 [9] - The brand's appeal is primarily focused on the wedding and mass gold consumption market, lacking penetration in the high-end market [9] - The competitive landscape is intense, with Zhou Li Fu holding only a 1.2% market share in 2022, significantly lower than competitors like Chow Tai Fook at 8% [10]

Core Viewpoint - Zhou Li Fu, a prominent player in the jewelry industry, has submitted a listing application to the Hong Kong Stock Exchange, showcasing its brand strength and market influence [1] Group 1: Brand Strength - Zhou Li Fu has maintained its position among the top five jewelry brands in China for seven consecutive years from 2017 to 2023, reflecting its commitment to quality and innovation [2] - The company has a strong offline presence with over 95% of its stores being franchise outlets, which has allowed for rapid market share expansion and enhanced brand influence [3] - Zhou Li Fu is actively expanding its online sales channels, achieving a compound annual growth rate of 46.1% in online sales revenue from 2022 to 2024, with online sales expected to account for 40% of total revenue in 2024 [4] Group 2: Market Potential - Global gold demand is projected to reach a record high of 4,974 tons in 2024, with gold jewelry demand accounting for 1,877 tons, indicating strong consumer interest in gold jewelry [5] - The Chinese jewelry market has grown from RMB 580 billion in 2018 to RMB 820 billion in 2023, with a compound annual growth rate of 7.2%, particularly in the gold jewelry segment, which grew from RMB 308 billion to RMB 518 billion during the same period [6] - Zhou Li Fu's market positioning and strategies effectively capture consumer preferences for quality and fashion, further enhancing its competitive edge [7] Group 3: Financial Performance - Zhou Li Fu's revenue has shown steady growth, with figures of approximately RMB 31.02 billion in 2022, RMB 51.5 billion in 2023, and projected RMB 57.18 billion in 2024, alongside profits of RMB 5.75 billion, RMB 6.6 billion, and RMB 7.06 billion respectively [8] - The company has successfully optimized supply chain management and improved production efficiency, leading to cost reductions and enhanced operational efficiency [10] Group 4: Future Outlook - The jewelry industry is facing increasing competition, necessitating continuous innovation and upgrades from Zhou Li Fu to maintain its leading position [11] - Digital transformation is a key trend, and Zhou Li Fu must invest in digital technologies to enhance online sales efficiency and user experience [11] - Sustainable development is becoming a priority, and Zhou Li Fu needs to explore eco-friendly materials and practices while engaging in social responsibility initiatives to enhance its brand image [12]

网易清流工作室 . 穿透迷雾，探寻真相。原创财经深度研究团队，信息来源均为公开的官方资料、媒体报道，以及普通人 皆可查询的数据库文件等。 来源 | 网易清流工作室 以下文章来源于网易清流工作室 ，作者周淼 作者 | 周淼 导 语 ：此前IPO审核过程中，周六福的加盟模式受到监管重点关注。 2024年6月递表港交所失效后，周六福于日前更新了上市申请书，再度冲击IPO，中金公司、中信建 投国际为联席保荐人。在此之前，周六福还曾三度冲击A股上市，但最后都以失败告终。 据了解，周六福于2014年在深圳成立，主营钻石镶嵌首饰、黄金珠宝等产品，其收入由加盟模式、 自营店以及线上渠道构成。其中，加盟模式为周六福的主要收入来源。 在该模式下，周六福的业绩曾出现数倍增长，且毛利率亦远高于同行水平。不过据最新披露的数 据，上述盈利模式的天花板隐现，除了产品质量、商标纠纷问题不断，公司营收、净利润增速也自 2023年放缓，毛利率亦出现下滑。 另一方面，受黄金价格上涨、市场竞争加剧等因素影响，其加盟店数量在2024年出现首降，年内净 减少250家。在此前IPO审核过程中，周六福的加盟模式便遭到监管重点关注，而此次其再次递表港 交所， ...