Jewelry retailer Luk Fook Holdings (International) Ltd. (0590.HK) said on Wednesday it expects to report its profit for its fiscal year through March jumped between 80% and 90% year-over-year. Luk Fook posted a profit of HK$1.07 billion ($137 million) for fiscal 2025, meaning its profit for fiscal 2026 is expected to range between HK$1.92 billion and HK$2.03 billion.
The company attributed the big increase primarily to higher gold prices. It also credited product differentiation and targeted sales strategies, which boosted sales of its fixed-price jewelry items. Those factors, coupled with the benefits of operating leverage, helped the company to boost its profit margins, which ultimately filtered down to its bottom line.
Shares of Luk Fook opened up 4% at HK$21.34 on Thursday. The stock is down 38% from its 52-week high.
By Lau Chi Hang
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