Weakness In Hong Kong And Macao Market, Luxury Market Complain Hard

The severe weakness in Hong Kong and Macao has made the world's second largest luxury group pessimistic about future expectations.

In the first half of fiscal year 2015, the group announced that the group's total sales increased by 3% over the first half of the year, lower than the market expectations.

The group said that the second half of the year will continue to be full of challenges.

After entering the second half of the year, the situation faced by the group is still not optimistic.

According to the peak group, sales of the group in October tended to be severe. Sales at fixed exchange rate changed from 3% in the first half to 6% in negative growth, far below the market expected 4%.

Not only did Hong Kong and Macao continue to languish, but also Europe and other regions that grew faster in the first half of this year slowed down growth.

Data show that the first half sales of the group reached 5 billion 821 million euros, with net profit of 1 billion 103 million euros.

Dragged down by the flagging Hong Kong and Macao region, sales in the Asia Pacific region plummeted 17% to 1 billion 972 million euros.

It is understood that

Sales account for about half of the group's total sales, while Hongkong is the largest export market of the watch group's watch business.

In Asia Pacific region, sales accounted for 34% of total sales volume from 40% in the same period last year.

The 2015 issue of Vontobel Bank of Switzerland

According to the industry report, about 16% of the group's sales came from Hongkong and 8% from the mainland.

However, due to the significant reduction in the number of mainland tourists,

In the wake of the rise, retailers in Hongkong have reduced inventories and even closed stores.

In 2015 1-9, the number of watches exported to Hongkong, China, fell by 20.5%.

The group stressed that the mainland's strong retail performance made up for the sluggish wholesale growth, but did not provide specific data.

In addition to the Asia Pacific region, other markets in the group have increased.

According to the fixed exchange rate, the European region was stimulated by the strong consumption of foreign tourists to stimulate sales growth of 24% to 1 billion 943 million euros, and sales in the Americas grew 1% to 883 million euros, and the Middle East and Africa grew 4% to 489 million euros.

Channel, fixed exchange rate, by Asian and American regional retailers cautious orders, group wholesale business fell 6% in the first half, retail business due to jewelry and toys support growth of 13%.