Luk Fook Holdings, Hong Kong, expects its net profit to surge by up to 90 percent for the financial year ending 31 March 2026. This positive profit alert marks a dramatic turnaround from the previous fiscal year, when the company suffered a 40-percent drop in profits due to escalating gold costs.
According to preliminary accounts, the jeweller attributes this massive rebound to improved retail profit margins driven by soaring global gold prices. Crucially, the group noted that consumer acceptance of these higher price points has significantly strengthened, with shoppers showing a renewed willingness to invest in the precious yellow metal.
Beyond external market forces, Luk Fook’s internal strategic shift played a pivotal role in boosting profitability. The company successfully revamped its product design and sales strategies to focus heavily on product differentiation. This effectively expanded the sales mix of its high-margin, fixed-price jewellery lines. The combination of strong consumer demand for gold, a refined product mix, and enhanced operating leverage ultimately drove up overall retail prices and profit margins.
The unaudited projections place the group’s annual profit between HK$1.92 billion and HK$2.03 billion. Luk Fook is scheduled to release its official, audited financial results on 25 June 2026. (Photo courtesy: Luk Fook)
27-07-2026
← Back