Chow Tai Fook Jewellery Group Limited · HKEX:1929
Chow Tai Fook Jewellery — FY2025 Earnings Presentation
46 slides from Chow Tai Fook Jewellery's earnings presentation, Jun 12, 2025
Slide 1: Presentation on 2025 Annual Results
Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in relia
Slide 2: 2025 Annual Results Investors Presentation
CHOW TAI FOOK JEWELLERY GROUP 2025 ANNUAL RESULTS INVESTORS PRESENTATION 2025.06.12
Slide 3: FY2025 Highlights
FY2025 HIGHLIGHTS Charting steady progress towards quality earnings Revenue HK$89,656 wo vw 175% On constant fx vy 16.8% Gross profit margin’ FY2024 29.5% 24.0% Operating profit ? HK$14,746 sic a 98% Operating profit margin 16.4% 12.4% Profit attributable to shareholders HK$5,916 se CHOW TAI FOOK JE
Slide 4: FY2025 Key Achievements
FY2025 KEY ACHIEVEMENTS Delivering significant milestones in our inaugural year of brand transformation journey Effective product optimisation strategy with successful new signature collections CHOW TAI FOOK JEWELLERY GROUP Financial resilience OPM +400 Unveiled "Sustainability 2049" blueprint Pione
Slide 5: Brand Transformation — Product Optimisation
BRAND TRANSFORMATION — PRODUCT OPTIMISATION Differentiated signature products that resonate with and appeal to target customers CTF Rouge Collection ~HK$4 billion Chow Tai Fook Palace Museum Collection ~HK$4 billion CHOW TAI FOOK JEWELLERY GROUP.
Slide 6: Brand Transformation — New Image Stores
BRAND TRANSFORMATION — NEW IMAGE STORES Enhanced retail experience boosted store productivity CHOW TAI FOOK JEWELLERY GROUP.
Slide 7: Brand Transformation — Continuing Our Journey
BRAND TRANSFORMATION — CONTINUING OUR JOURNEY An exciting and promising year ahead Rollout of new image stores underway products and strategic brand Collection launch collaborations High Jewellery Unveiling differentiated signature CHOW TAI FOOK JEWELLERY GROUP
Slide 8: Business Update
BUSINESS UPDATE CHOW TAI FOOK JEWELLERY GROUP
Slide 9: RSV and POS by tier of cities, operating model and store format
RSV and POS by tier of cities 1 RSV and POS by operating model RSV and POS by store format
Slide 10: Mainland China — POS: Average quarterly sales
MAINLAND CHINA — CHOW TAI FOOK JEWELLERY POS Store productivity enhancement mitigated effect of store closures Average quarterly sales ! 35.1% 1a 2Q 3Q 4Q @- FY2024 quarterly SSS contribution to annual SSS @- FY2025 quarterly SSS contribution to annual SSS m FY2024 average quarterly SSS m FY2025 ave
Slide 11: RSV per store by store age
Ratio of RSV per store to RSV per Same Store by store age in FY2025 Average monthly sales per store HK$ million
Slide 12: Digital customer engagement
Digital customer engagement ⚫ ⚫
Slide 13: Hong Kong and Macau
RSV and POS by geography Hong Kong and Macau ⚫ ⚫ ⚫
Slide 14: Other Markets — POS (excluding China duty free)
OTHER MARKETS — CHOW TAI FOOK JEWELLERY POS (EXCLUDING CHINA DUTY FREE) Embarking on a dynamic phase of international growth FY2025 highlights RSV ~9A% Number of POS 48 (FY2025: +3 POS) CHOW TAI FOOK JEWELLERY GROUP. Revitalising ke existing markets Upgrading and relocating stores to enhance retail
Slide 15: Financial Review
FINANCIAL REVIEW
Slide 16: FY2025 Income Statement Highlights
FY2025 INCOME STATEMENT HIGHLIGHTS Profitability and margin resilience a testament to success of our transformation Revenue Revenue YoY on constant fx HK$89,656 nition ~~ 175% ~ 16.8% Gross profit Gross profit margin HK$26,455 sion a 16% 29.5% 74.0% SG&A SG&A Ratio HK $12,491 mitico -~ 6.1% 13.9% oa
Slide 17: Revenue Breakdown — Reportable Segment
REVENUE BREAKDOWN — REPORTABLE SEGMENT (HK$M) 98,938 70,164 50.9% 108,713 94,684 46.9% 34.2% 14.9% FY2021 FY2022 (HK$m) Mainland China Hong Keng & Macau of China and other markets Overall CHOW TAI FOOK JEWELLERY GROUP FY2023 FY2024 1H2025 33,031 6377 39,408 YoY Change 89,656 A7S% -16.0% -17.5% -20.6
Slide 18: Revenue Breakdown — Product
REVENUE BREAKDOWN — PRODUCT (HK$M) [EXCLUDING JEWELLERY TRADING AND SERVICE INCOME FROM FRANCHISEES] YoY Change 107,757 97,799 - 93,729 87,546 -18.8% 69,289 13.8% 105.5% 24.1% 51%. m Gem-set, Platinum and K-gold jewellery 716.2% @ Gold jewellery and products (Fixed-price) 66.2% -29.4% ™ Gold jewelle
Slide 19: ASP by product
1 ASP = Average selling price 2 Gem-set jewellery ASP
Slide 20: FY2025 Movements in Gross Profit Margin
FY2025 MOVEMENTS IN GROSS PROFIT MARGIN Margin improvement driven by product mix enhancement and higher gold prices & 35% 29.5% ® 21% 24.0% ® 01% Ww 04% 4 0% — | 8.0% 3.5% FY2024 FY2025 Changes in Mainland China, Hong Kong & Macau of China and other markets mix Impact from wholesale business Impact
Slide 21: SG&A Analysis
SG&A ANALYSIS (HK$M) Effective and disciplined cost management —o YoY Change % -6.1% ™ Staff costs and related expenses ™ Concessionaire fees 5.9% 24% ™ Rental expenses ™ Depreciation and amortisation (Right-of-use assets, "ROUA") = Depreciation and amortisation 49% 1,887 [RA (Property, plant and eq
Slide 22: Mainland China / Hong Kong & Macau of China
Mainland China Hong Kong & Macau of China
Slide 23: Mainland China / Hong Kong & Macau of China
Mainland China Hong Kong & Macau of China
Slide 24: Operating profit by reportable segment
Operating profit by reportable segment (HK$m) Profitability – Mainland China Profitability – Hong Kong & Macau of China and other markets
Slide 25: Profit Before Taxation
PROFIT BEFORE TAXATION For the year ended 31 March (HK$m) Operating profit Other gains and losses - Fair value change of gold loan - Net Fx gain / (loss) - Others Other expenses Share of losses of associates Interest income Finance costs Profit before taxation CHOW TAI FOOK JEWELLERY GROUP. FY2024 1
Slide 26: Inventory balances by product / Capex by function
Inventory balances by product 1 Capex by function
Slide 27: Summary — Movements in Cash Flows
SUMMARY — MOVEMENTS IN CASH FLOWS (HK$M) Track record of consistently strong cash flow generation Pro forma free cash flows 20,756 48,329 2,800 (578285 W509 416,717 we Wo 7,695 W451 7,582 FY2024 FY2025 (31 Mar 24) = Operating cash flows before movements in working capital ™ Net repayment in bank bor
Slide 28: Capital Structure Highlights
CAPITAL STRUCTURE HIGHLIGHTS Effective capital management for financial stability and maximising shareholder return Bank deposits and cash equivalents ! HK$7,582 sion As at 31 Mar 24 HK$7,695 million Total Equity As at 31 Mar 24 H K$27,393 million HK$26,746 million Bank borrowings HK$3,825 satic As
Slide 29: ROE analysis
ROE Net profit margin Assets turnover Equity multiplier
Slide 30: GROUP
CHOW TAI FOOK JEWELLERY GROUP
Slide 31: Market Outlook
MARKET OUTLOOK FY2026 — A year for quality growth « Encouraged by the continued progress in our brand transformation strategy and the positive impact on our financial and operational performance in FY2025 and in FY2026 to date « In FY2026, our strategic initiatives, together with the relatively lowe
Slide 32: Appendix
(@) CHOW TAI FOOK JEWELLERY GROUP
Slide 33: Appendix I — Income Statement Summary
APPENDIX | — INCOME STATEMENT SUMMARY For the year ended 31 March (HK$m) 2023 2024 2025 YoY Change Revenue 94,684 108,713 89,656 -17. 5% Gross profit 22,718 26,042 26,455 1.6% Gross profit margin 24.0% 24.0% 29.5% 5.5% pts Selling and distribution costs and general and administrative expenses ("SG&A
Slide 34: Profitability – Mainland China and Hong Kong & Macau
Profitability – Mainland China Profitability – Hong Kong & Macau of China and other markets
Slide 35: Appendix III — London Gold Price
APPENDIX Ill - LONDON GOLD PRICE (US$ PER OUNCE) 1HFY2024 2HFY2024 1HFY2025 30.9.2023 vs T-180 days price 31.3.2024 vs T-180 days price 30.9.2024 vs T-180 days price 3,600 4.2% +9.4% +9.1% 30.9.2023 vs 313.2023 313.2024 vs 30.9.2023 30.9.2024 vs 31.3.2024 55% 18.4% +18.8% 3,100 2,600 2,100 1,600 4,1
Slide 36: Gold inventory (Weight)
Gold inventory (Weight) Seasonal, consigned Seasonal, inventory & consigned others inventory & others 36,000 KG. 20,000 KG. Base Base inventory inventory 20,000 KG. 24,000 KG.
Slide 37: Appendix IV — Illustration of Fair Value Gain/Loss on Gold Loans
APPENDIX IV — ILLUSTRATION OF THE FAIR VALUE GAIN/LOSS ON GOLD LOANS Fair value loss on settled gold loan E i Gold loan contract at US$3,000/oz Revaluation loss on unsettled gold loan E Fa Gold loan contract at US$3,000/oz CHOW TAI FOOK JEWELLERY GROUP. WHEN MATURED a Gold price increase to US$3,080
Slide 38: Appendix V — Reclassification of Gold Loan P/L Impact
APPENDIX V — RECLASSIFICATION OF GOLD LOAN P/L IMPACT — FY2024 (HK$ billion) OLD REVENUE REVENUE REVENUE COGS @ historical cost (82.7) COGS @ historical cost (82.7) COGS @ historical cost (82.7) + Realised gain/loss on _ + FV change of gold loan gold loan (1.2) d gain/loss on old loan Unrealised gai
Slide 39: Appendix VI — Reclassification of Gold Loan Impact
APPENDIX VI — RECLASSIFICATION OF GOLD LOAN IMPACT Underlying trend is similar before and after the reclassification 28.9% 24.0% GPM (new) ° ) —e 23.4% ao 22.8% AGPM (old) 12.9% 124% OPM (new) 10.3% oom 10.3% ° : 11.2% COPM (old) 10.1% 10.0% FY2021 FY2022 FY2023 FY2024 CHOW TAI FOOK JEWELLERY GROUP.
Slide 40: Appendix VII — Product Innovation and Strategic Brand Collaborations
APPENDIX VII — PRODUCT INNOVATION AND STRATEGIC BRAND COLLABORATIONS TO ENHANCE BRAND DESIRABILITY CHOW T ) , CHOW TAI FOOK We ath yy T a ax i Back wr a 4 < He \ yf 7 j \ } X — \ \ oe % oles ~ A Co 4 j . Dp i y ( MCM/)\ fi ta <i #e BBR CHOW TAI FOOK JEWELLERY GROUP.
Slide 41: Key Programmes
ENVIRONMENT PEOPLE INDUSTRY Circularity Traceability Low-impact Chinese Culture Future Talents Well-being for All Recycled and Clean Jewellery Operations Traceable Gold Production Jewellery Standards • • • • • • • • • • KeyProgrammes Key Programmes • • •
Slide 42: Environment, People, Industry
ENVIRONMENT PEOPLE INDUSTRY Circularity Chinese Culture Recycled and Traceable Gold Traceability Clean Production Future Talents Low-Impact Operations Well-being for All
Slide 43: Appendix VIII — Our Sustainability
APPENDIX VII] — OUR SUSTAINABILITY Reporting principles and recognitions Reporting principles In additions to the Environmental, Social and Governance Reporting Guide of HKEX, our sustainability disclosure is also prepared with reference to the recommendations from: * Global Reporting Initiative Sus
Slide 44: Appendix IX — Hurun Chinese Luxury Consumer Survey
APPENDIX IX — HURUN CHINESE LUXURY CONSUMER SURVEY Top 10 favourable jewellery brands of high-net-worth individuals 2020 2021 2022 2023 2024 Bulgari Bulgari Bulgari Bulgari Bulgari Cartier Cartier Cartier Cartier Cartier Van Cleef & Arpels Van Cleef & Arpels Van Cleef & Arpels Van Cleef & Arpels Van
Slide 45: Disclaimer
These materials have been prepared by Chow Tai Fook Jewellery Group Limited (the “Company”) solely for use at this presentation and are not for public dissemination. The slides and any other materials used in this presentation are the property of the Company and must be treated as such. The informat
Slide 46: GROUP
CHOW TAI FOOK JEWELLERY GROUP
Chow Tai Fook Jewellery Group — FY2025 Earnings Presentation on 6ix