周生生(00116) - 2023 - 中期财报

Sales Performance - The Group's total jewellery and watch sales in the first half of 2023 increased by 31% year-on-year, with turnover in Hong Kong and Macau up 59% and Mainland China up 22%[6] - Consolidated turnover from continuing operations for the first half of 2023 increased by 29% to HK$13,000 million, while profit attributable to owners of the Company rose by 75$827 million[6] - Segment revenue for Mainland China was HK$8,714,780 thousand, reflecting a 22$365,610 thousand[8] - In Hong Kong and Macau, turnover increased by 59% year-on-year, with segment results jumping 156%[14] - Overall same-store sales growth (SSSG) was +19% in the first half of 2023 compared to the first half of 2022[12] - In Mainland China, the overall SSSG was +19% in the first half of 2023 compared to the first half of 2022[12] - SSSG for gold jewellery and products rebounded with an increase of 78% in the first half of 2023[14] - SSSG for gem-set jewellery recorded an increase of 34%, driven by the "Infini Love Diamond" collection[14] - In Taiwan, sales grew by 32% year-on-year, with segment results increasing by 89%[18] - SSSG for watches in Hong Kong and Macau recorded steady growth of +16% compared to the first half of 2022[14] - The overall SSSG for the first quarter of 2023 was +93% compared to the same period in 2022, while the second quarter recorded +33%[14] - Sales of Rolex and Tudor watches in Mainland China recorded SSSG of +37% over the low base in 2022 due to disrupted supplies during the pandemic[10] Store Expansion - The Group added a net total of 39 stores to its retail network in the first half of 2023[6] - The total number of stores increased from 977 at the end of 2022 to 1,016 by June 30, 2023, reflecting a net change of +39 stores[19] - The company opened 47 new stores in the first half of 2023, while closing 17, resulting in a net increase of 30 stores in Taiwan[19] - Chow Sang Sang opened 53 new stores during the period, including 6 in Mainland China, while closing a total of 21 stores[21] - Chow Sang Sang Holdings plans to expand its market presence in Mainland China, targeting a 20% increase in store openings by the end of 2024[131] Financial Performance - The Group's profit attributable to owners from continuing operations increased by 72% to HK$829 million[6] - The interim dividend per share was set at 20.0 cents, with a dividend payout ratio of 16$12,671,833, an increase of 31.0% compared to HK$9,668,795 for the same period in 2022[41] - Gross profit for the same period was HK$3,636,988, representing a 26.4% increase from HK$2,878,514 in 2022[41] - Profit before tax from continuing operations was HK$1,063,429, up 68.3% from HK$631,775 in the previous year[41] - Profit for the period from continuing operations was HK$822,004, a significant increase of 72.2% compared to HK$476,935 in 2022[41] - Basic earnings per share attributable to owners of the Company for profit for the period was 122.1 cents, compared to 69.6 cents in the previous year, reflecting a 75.8$311,101, compared to a loss of HK$141,907 in the same period last year[45] - The Group's finance costs increased to HK$62,932 from HK$33,352 in the previous year, indicating a rise of 88.8$1,258 million, up from HK$749 million as of December 31, 2022, indicating strong cash flow from retail operations[29][30] - The Group's total unutilized banking facilities amounted to HK$4,249 million as of June 30, 2023, compared to HK$3,879 million as of December 31, 2022[31] - Net cash flows from operating activities for the six months ended June 30, 2023, were HK$1,603,059, compared to HK$746,693 for the same period in 2022, representing a significant increase[61] - Cash and cash equivalents significantly increased to HK$1,257,816 from HK$748,628, a growth of 68$1,116 million as of June 30, 2023, from HK$983 million as of December 31, 2022[32] Risk Management and Governance - The Group has maintained effective risk management and internal control systems, with no significant weaknesses identified during the review period[39] - The Board is committed to appointing a new independent non-executive director before the 2023 Annual General Meeting to comply with corporate governance standards[37] - The Group's hedging level is approximately 40% of total gold inventories, indicating a proactive approach to managing bullion price exposure[31] - The Group maintains 33% of its bank loans at fixed rates, an increase from 25% as of December 31, 2022, to manage interest cost risks[31] E-commerce and Digital Strategy - Online sales in Mainland China accounted for approximately 18% of total sales, with a growth in gold jewellery sales outpacing other categories[21] - The Group's e-commerce sales have become a significant contributor to revenue, with plans to enhance the integration of online and physical sales[32] - The Group invested over 11,200 hours in live streaming shows to enhance online sales engagement[21] - The company has implemented new digital marketing strategies, resulting in a 25% increase in online sales during the first half of 2023[131] Sustainability and Innovation - Chow Sang Sang Holdings is committed to sustainability, with plans to source 50% of its materials from eco-friendly suppliers by 2025[131] - The company is investing in new product development, with a focus on innovative jewelry designs expected to launch in Q3 2023[131] Shareholder Information - The Company declared an interim dividend of HK20.0 cents per ordinary share for the six months ended 30 June 2023, an increase from HK15.0 cents in 2022[126] - A final dividend of HK15.0 cents per ordinary share for the year ended 31 December 2022 was approved and paid on 21 June 2023[126] - As of June 30, 2023, the largest shareholder, Everwin Company Limited, held 120,000,000 shares, representing approximately 17.71% of the shareholding[119] - Directors' interests included Mr. Vincent Chow with 136,271,595 shares, accounting for 20.12% of the total[116]