Zhou Dafu'S First Hearts On Fire Store Landed In Shanghai, China

In June this year, Chow Tai Fook Jewelry Group Ltd. Zhou Dafu Jewelry Group Co., Ltd. bought us diamond jewelers Hearts On Fire Company LLC to China market for $150 million. The first store in Nanjing Road, Shanghai, was officially opened.

According to Zhou Dafu group's family successor and group director Adrian Cheng, Zheng Zhigang said the brand will also visit other cities such as Hongkong, Beijing, Nanjing and Hainan in the coming fiscal year. In the spring of 2015, it will open a flagship store for Madison Boulevard in New York. The goal is to open 300 flagship stores for the brand before 2020.

Zhou Dafu group has said that Hearts On Fire Company LLC in 2013, 75% of its sales came from products priced at 1000-10000 dollars, and the rest of the products sold for more than 10000 dollars. The premium of its brand products was higher than that of other famous brands, far higher than half of the non branded diamonds, which accords with the group's optimization of product mix and the promotion of high value products to meet the consumer's mode.

This week, Tai Fu

The group has just released its sluggish first half financial year's performance. In the first half of September 30th, the group's net profit fell by 23.3%, down from HK $3 billion 510 million to HK $2 billion 690 million in the same period last year.

In the first half of the year, the group's same store sales fell by 31.2% year-on-year, while sales in the mainland and Hong Kong, Macao and Taiwan fell by 20.4% and 40.9% respectively.

Adrian Cheng

Despite the overall market downturn, jewellery sales still have double-digit growth.

First half fiscal year

Sales of jewellery jewellery rose 24.8% to HK $8 billion 290 million, representing a significant increase from 28.3% in the same period last year to 28.3%, while sales of gold products decreased by 41% to HK $14 billion 530 million, representing a decline from 65.2% to 49.6%.

In view of the sluggish market, the main investment banks have lowered the target price of Zhou Dafu group, of which HSBC lowered its target price from HK $13.8 to HK $13.1, maintaining its overweight rating; JP Morgan lowered its target price from 13.4 to HK $12, maintaining its overweight rating; Suisse maintained its winning rating, lowered its target price from HK $13.5 to HK $13; UBS maintained its sexual rating, with a target price of HK $12.8 down to HK $11.8.