Yikon to make further inroads into China market


  • Business
  • Saturday, 22 Feb 2003

By David Tan in Penang

YIKON CORP BHD, a specialist in the manufacturing and distribution of gold jewellery, plans to further penetrate China's gold market by establishing four more retail outlets in various strategic locations this year. 

Its group general manager Lew Woon Sang told StarBiz that the group had set up the group's first retail outlet at Fuzhou last December. 

“We are exploring Xian as the next potential base for our second outlet,” he said, adding that setting up the four outlets would require an initial investment of over RM1mil. 

Lee Woo Sang

Lew said the KLSE second board listed group's strategy was to promote the sale of 18 and 24-carat gold jewellery in China to cater to the taste of both young as well as mature customers. 

“Since the retail outlet started operations, its business looks promising and shows potential for growth,” he added.  

Lew said in April, the group would be participating in the World Watch and Jewellery Show in Basel. 

“We want to use this event as an opportunity to penetrate the European market. This event attracts mainly buyers from Europe and the Far East,” he added. 

Lew said the group would increase the efforts of its designing division this year to produce new designs of gold jewellery to enable the group better service the needs of their customers in China and Europe. 

“On average, the group releases between 100 and 150 new jewellery items yearly.  

“Last year, we also invested RM1mil in new machinery to enable us to come out with a new range of high quality jewellery,” he said. 

Lew said the group posted RM64.46mil revenue and RM10.91mil in pre-tax profit for the 2002 fiscal year, compared with RM57.74mil and RM10.60mil achieved respectively the year before. 

“Our results were better than what we had forecast a year ago in our prospectus, which was RM61.69 in revenue and RM10.60 in pre-tax profit. 

“We were able to perform well because of the higher profit margin from our premier products such as white gold and three colour jewelleries products,” he added. 

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 1
Cxense type: free
User access status: 3
   

Did you find this article insightful?

Yes
No

Next In Business News

Tenaga forecasts rebound in revenue
Mustapa: 12th Malaysia Plan to be tabled when Parliament reconvenes
Biggest players in short-selling are getting a pass
Nothing the stock market does ever scares retail daredevils
US Senate passes US$1.9 trillion relief bill
AirAsia Group plans air taxi, drone delivery service
Tengku Zafrul: Govt tapping into more data for effective aid
AirAsia recovering well via digital transformation
Texas grid operator made $16bil price error during winter storm, watchdog says
CPO futures to see quiet trading next week

Stories You'll Enjoy


Vouchers