Jeweler Chow Tai Fook reports declining sales

Chow Tai Fook Jewellery Group (1929.HKG) recorded an 8% decline in same-store sales between October and December, its fiscal third quarter, as consumer spending in China slowed, Bloomberg reported, citing a stock exchange statement by the company. The company, the world’s largest jeweler by market value, saw its outlet sales drop 11% in mainland China as well as 6% in Hong Kong and Macau during the period. Its revenue, however, increased 4% in the quarter as the company opened 70 new outlets to expand its presence in smaller Chinese cities. Chow Tai Fook plans to open 45-50 new outlets in its fiscal fourth quarter, and predicts a decline in same-store sales for the full fiscal year. The company’s shares gained 1.6% to close at HK$13 on January 10. They fell 11% in 2012, compared with an overall market gain of 23%.