Lukfook Announces Interim Results For The Period Ended 30 September 2009 Profit Attributable To Shareholders Grew By 53.2% To HK$1,449,000 Declared Interim Divided Of 15 HK Cents Per Share


(17  December  2009)── Luk  Fook  Holdings  (International)  Limited (SEHK Code: 590)  (“Luk Fook”/ “The Group”) today announced its interim  results for the six months ended 30 September 2009. During the period under review,  revenue  increased  by  15%  to  HK$2,087,637,000  (2008:  HK$1,814,692,000).  Profit  attributable  to  shareholders  amounted  to  HK$188,449,000  (2008:  HK$123,033,000),  up  53.2%  from  that  of  the  previous  year.  Earnings  per  share  were  HK$38.26  cents  (2008:  HK$  24.98  cents).  The  Board  recommends  an  interim  dividend  of  HK$15.0  cents (2008: HK$5.0 cents) per share for the period ended 30 September 2009.
Mr.  Wong  Wai  Sheung,  Chief  Executive  of  Luk  Fook,  said,  “Despite  the  prospects  for  global  recovery  remain  uncertain,  China  maintains  a  strong  GDP  growth.  The  purchasing  power  of  PRC  customers  is  increasingly  high,  and  their  demand  for  luxury  goods  increases substantially  as well.  The  performance  of  our  retail stores remains strong. Revenue from the retail business in China recorded a growth  of  45.9% from  HK$69,719,000  to  HK$101,711,000.  The  Group  is  confident  in the China market and endeavors to raise its share.”
During the period, Luk Fook operates a total of 508 retail stores in China (2008:  421  stores),  Hong  Kong,  Macau,  Canada  and  the  United  States,  with  31 stores in Hong Kong,  4 in Macau, 2 in the  United States and 2 in Canada and a total of 469 retail stores in China. For the period ended 30 September 2009, total revenue from retail business amounted to HK$1,584,308,000(2008:  HK$1,393,697,000), up 13.7% from the same period of last year.
Two  new  shops  were  opened  at  Tsim  Sha  Tsui  including  a  flagship  store  in  Hong Kong during the period, further enhancing its brand image. Moreover, the Group acquired  the  whole  block  of  a  commercial  building  in  Jordon  mainly  for  the purpose of the Group’s head office building in August.
Regarding the business in China, the Group established 37 brand stores during  the  period,  accumulating  its  total  number  to  437  (2008:  367  shops).  Apart from  expanding  the  Group’s  brand  stores  network,  the  Group  set-up  operated stores as well. As at 30th September 2009, the Group had 32 self-operated stores in China  (2008:  17  shops),  of  which  13  are  newly  established.  The  first  self-operated stores in Shanxi and Jiangsu provinces were also opened during the period.
Motivated  by  the  opening  of  gambling  licenses  and  individual  visit scheme,  visitor  arrivals  to  Macau  increased  3.28  times  from  7,440,000  in  1999  to 22,900,000 last year and the number is on the rise. The flourishing tourism in Macau brings considerable profit to the Group. During the period under review, revenue from Macau stores increased over 80% from the same period last year.
Mr. Wong Wai Sheung, Chief Executive of Luk Fook said, “Looking ahead, with  the  strong  economic  growth,  PRC  consumers  are  increasingly  affluent.  Our Group’s future development will be focused on China. We are planning to open more retail stores in the first-tier cities and expand the sales network to the second and third-tier cities in China the coming years. While opening self-operated stores in China,  the  Group  also  establishes  brand  stores  actively  so  that  Luk  Fook’s  brand image can be enhanced among PRC consumers. ”
In  recognition  of  the  Group’s  outstanding  product  quality,  the  Group won the “PRC Consumers’ Most Favorable Hong Kong Brands 2009 – Gold Prize” for 4 consecutive years, it also attained “My Favourite Jewellery Brand of Hong Kong” in “My Best Favourite Brand in Hong Kong 2009”, demonstrating the credible brand image of Luk Fook among the consumers in Great China Region.
As  for  marketing  campaigns,  the  Group  promotes  and  publicizes  Luk Fook  brand  through  a  series  of  sponsorships  and  advertisements.  It sponsored Jewellery  pieces in  several  key  dramas,  beauty  contests  in China,  Hong  Kong  as well  as  overseas  and  placed  advertisements  on the  main  TV  channels  in  Hong Kong  and  China.  During  the  period,  the  Group  continued  to  sponsor  beauty contests such as “Miss Hong Kong Pageant” for the 12th consecutive years.
About Luk Fook Holdings (International) Ltd. (Stock Code: 590)

Luk Fook principally engages in the sourcing, designing, wholesaling and retailing of a  variety  of  gold  Jewellery,  gold  ornaments,  gem-set  Jewellery,   gemstones and other accessory items. Luk Fook Group currently has more than a total of 510 retail stores in China, Hong Kong, Macau, Canada and the United States.