Releasing unaudited key operational data of the Group for the three months ended 31 December 2018 (Q3 FY 2018-19), Chow Tai Fook said that retail sales (RSV) rose by 1% in value terms in Mainland China and dropped by 1% in Hong Kong & Macau, even as same store sales (SSS) declined by 7% in the former and 6% in the latter market. The Company attributed the slowdown to an uncertain macro environment.

However, same store Average Selling Price (ASP) continued to exhibit a positive growth in both markets during the quarter, the Company said.

In terms of SSS, gem-set jewellery declined by 5% in Mainland China and 8% in HK & Macau, though RSV of the segment rose by 3% in the former location. While same store ASP decreased to HK$ 6,600 (3QFY2018: HK$ 6,900) in Mainland China, it dropped to HK$ 11,500 (3QFY2018: HK$ 11,800) in HK & Macau.

The SSS performance of gold products in both markets was affected by a decline in volume growth as gold price strengthened. Yet, ASP at same store level improved in the Quarter due to an increase in average weight per gold product sold, Chow Tai Fook reported.

In Mainland China, ASP of gold products jumped to HK$ 4,300 (3QFY2018: HK$ 3,900) while in HK & Macau it rose to HK$ 7,400 (3QFY2018: HK$7,000). The average international gold price in the Quarter dropped by 4% when compared to the same period last year.

The Company also reported that the RSV of e-commerce business in Mainland China dropped by 7% year-on-year while volume recorded an increase of 12% in the quarter.

Based on the increase in percentage of RSV settled by China UnionPay, Alipay, WeChat Pay or RMB to the total RSV of Hong Kong and Macau market, the Company estimated that sales contribution from Mainland tourists improved to 47% in the Quarter as compared to 42% of the same period last year.

During the quarter, the Group opened a net of 259 POS in Mainland China, while in Hong Kong, Macau and other markets, the Group net opened 4 POS. As at 31 December 2018, the Group had 3,085 POS in total.