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PR Newswire
30-10-2014, 12:34 PM
"Luk Fook’s store network skews more towards the non-tourist areas than peers."
Nomura
0330 GMT [Dow Jones] Shares of Chow Tai Fook (1929.HK) and Luk Fook Holdings (0590.HK) gain in morning trading after both report better-than-expected jewelry sales during Golden Week, in spite of pro-democracy protests in Hong Kong. “We believe both have seen the green shoots of recovery,” says Nomura. Chow Tai Fook’s “faster-than-expected strategic shift (from HK to China; from gold to non-gold; from high-ticket size to lower ones) should help it to position it for the recovery and future growth,” the bank says. As for Luk Fook, “results were better than our expectation, with Hong Kong and Macau +3% notwithstanding the protests,” says Bank of Communications. “We attribute it partly to the fact that Luk Fook’s store network skews more towards the non-tourist areas than peers.” Chow Tai Fook shares gain 1.3% to HK$10.58, while Luk Fook is up 0.2% to HK$22.80. (gregor.hunter@wsj.com; Twitter: @gregorhunter)
Nomura
0330 GMT [Dow Jones] Shares of Chow Tai Fook (1929.HK) and Luk Fook Holdings (0590.HK) gain in morning trading after both report better-than-expected jewelry sales during Golden Week, in spite of pro-democracy protests in Hong Kong. “We believe both have seen the green shoots of recovery,” says Nomura. Chow Tai Fook’s “faster-than-expected strategic shift (from HK to China; from gold to non-gold; from high-ticket size to lower ones) should help it to position it for the recovery and future growth,” the bank says. As for Luk Fook, “results were better than our expectation, with Hong Kong and Macau +3% notwithstanding the protests,” says Bank of Communications. “We attribute it partly to the fact that Luk Fook’s store network skews more towards the non-tourist areas than peers.” Chow Tai Fook shares gain 1.3% to HK$10.58, while Luk Fook is up 0.2% to HK$22.80. (gregor.hunter@wsj.com; Twitter: @gregorhunter)