Nomura published a research report. The management of the long-established gold store said in an investor conference call that sales in the second quarter of this year were affected by falling gold prices, and that countermeasures were implemented during the period, such as introducing more attractive rebates and gifts, launching new products at more affordable prices, and providing support and promotion to high-end customers. The results were satisfactory and will be expanded to more stores in the second half of the year. Nomura maintained confidence in the long-term growth of old gold, but as sales growth in the second quarter slowed slower than expected, the revenue and profit forecasts for 2026 to 2028 were lowered by 5% to 6% and 9% to 11% respectively. The valuation benchmark was lowered from 22.5 times to 20 times the price-earnings ratio for the next 12 months, and the target price was lowered from HK$1,114 to HK$905, maintaining a “buy” rating. Nomura expects that if the price of gold stabilizes over the next few quarters, the market's pessimism about gold sales in old stores may subside.

Nomura published a research report. The management of the long-established gold store said in an investor conference call that sales in the second quarter of this year were affected by falling gold prices, and that countermeasures were implemented during the period, such as introducing more attractive rebates and gifts, launching new products at more affordable prices, and providing support and promotion to high-end customers. The results were satisfactory and will be expanded to more stores in the second half of the year. Nomura maintained confidence in the long-term growth of old gold, but as sales growth in the second quarter slowed slower than expected, the revenue and profit forecasts for 2026 to 2028 were lowered by 5% to 6% and 9% to 11% respectively. The valuation benchmark was lowered from 22.5 times to 20 times the price-earnings ratio for the next 12 months, and the target price was lowered from HK$1,114 to HK$905, maintaining a “buy” rating. Nomura expects that if the price of gold stabilizes over the next few quarters, the market's pessimism about gold sales in old stores may subside.