Sales of luxury gold products show sustained upswing despite headwinds

Luxury gold products have shown remarkable resilience despite mainstream jewelry sales being hit following 40 record-breaking surges in gold prices, with spikes going up to 30 percent.

Laopu Gold Co Ltd's share price skyrocketed by over 70 percent on its inaugural trading day at the Hong Kong stock exchange in June.

It is estimated that the company's revenue will surge by 136 percent year-on-year to 7.5 billion yuan ($1 billion) in 2024, with net profits increasing by 187 percent to 1.2 billion yuan, according to investment bank China International Capital Corp Ltd (CICC).

CICC said although the rapid rise in gold prices affected mainstream jewelry sales last year, sales of high-end gold products remained resilient.

It remains optimistic about the growth prospects of Laopu Gold this year and has raised its net profit forecasts for the current and next year by 15 percent and 18 percent, to 1.2 billion and 1.7 billion yuan, respectively.