Good News on Listing | Frost & Sullivan Assists Saturday Forte Jewelry Co., Ltd. to Successfully Go Public in Hong Kong (6168.HK)

Saturday Fortune Jewelry Co., Ltd. (hereinafter referred to as 'Saturday Fortune') successfully listed on June 26, 2025. The company plans to issue 46.808 million H shares globally, of which 10% will be publicly offered in Hong Kong and 90% internationally. The issue price per share is HK$24.0, with an estimated net proceeds from global offerings of approximately HK$1.024 billion.

During the process of listing in Hong Kong this time, Frost & Sullivan mainly undertook the following tasks: helping the issuer accurately and objectively understand its positioning in the target market, using objective market data to discover, support and highlight the issuer's competitive advantages, assisting the issuer, investment banks and other intermediaries in completing the writing of relevant parts of the prospectus (such as overview, competitive advantages and strategy, industry overview, business and other important chapters), helping the issuer complete communication with the Hong Kong Stock Exchange and investors, assisting investors in quickly understanding the market ecosystem and competitive landscape, and providing assistance to the issuer in completing feedback on various industry-related issues from the Hong Kong Stock Exchange, etc.

According to LiveReport's big data (statistical data as of June 1, 2025), from January to May 2025, as well as during the past 12 and 36 months, Frost & Sullivan provided listing industry advisory services for 17 (63%), 48 (63%) and 152 (68%) Hong Kong-listed IPOs respectively, boasting rich industry experience and communication skills with exchanges and investors.

• The company has become a CCTV promotional brand;

   

• The company has been awarded the Value Brand of 2023 by CCTV;

   

• The company won the first prize in the China Decoration Art Design Competition;

   

• The company was selected for the program 'Great Brands of China' on CCTV-1, a comprehensive channel of China Central Television.

   

• As of 2024, the company has received the China's 500 Most Valuable Brands certificate for nine consecutive years;

   

• In 2024, the company ranked third in the number of jewelry items sent for inspection by the National Jewelry and Jade Appraisal Group Co., Ltd.

According to the Frost & Sullivan report for the year ending December 31, 2024:

• In terms of the number of offline stores in China, the company's brand Saturday Fort ranks fifth among Chinese jewelry brands;

   

• Ranked tenth among Chinese gold jewelry companies in terms of revenue from gold jewelry products,

   

• Ranked sixth among Chinese gold jewelry companies in terms of total transaction volume of gold jewelry goods,

   

• In terms of the total transaction volume of jewelry products, the company ranks fifth among jewelry companies operating under franchise models in China.

Driven by factors such as the continuous increase in consumer purchasing power and the growing demand for daily wear of different jewelry, the scale of China's jewelry market has steadily increased from RMB 610 billion in 2019 to RMB 728 billion in 2024, with a compound annual growth rate of 3.6%. Looking ahead, according to the China Jewelry and Jade Appraisal Institute and relevant market research reports, with the continuous rise in consumers' self-satisfaction needs, more sensitive trend perception, and the rise of digital retail and e-commerce, it is expected that the Chinese jewelry market will grow, reaching RMB 937 billion by 2029, with a compound annual growth rate of 5.2% from 2024 to 2029.

● Diversifying consumer scenarios

Jewelry has gradually become an everyday accessory. According to data from the World Gold Council, younger Chinese consumers are increasingly accepting gold as not only a traditional symbol of wealth and respect but also a trendy accessory reflecting their fashion sense and personal style. On the other hand, occasions for wearing jewelry have become more diverse. In addition to traditional occasions such as weddings and engagements, rewarding oneself has also become a trend among Chinese consumers in recent years, indicating that purchasing jewelry has become a way of self-satisfaction.

● Enhanced purchasing power and changing consumer preferences

Data from the National Bureau of Statistics show that the annual per capita disposable income of Chinese residents increased from RMB 30,700 in 2019 to RMB 41,300 in 2024, with a compound annual growth rate of 6.1%. At the same time, consumer behavior has undergone significant changes, with consumers increasingly pursuing a higher quality life and personalized consumption experiences. According to the China Jewelry and Jade Association and relevant market research reports, against this backdrop, jewelry attracts the attention of more diverse consumer groups with its inherent value, unique cultural and emotional charm. Therefore, the trend of continuously improving consumer economic capabilities is expected to continue driving the continuous development of the jewelry market.

● Diversified sales channels and digitization

The diversification and digitization of sales channels in the Chinese jewelry market are transformative trends that are reshaping the attractiveness of jewelry to consumers and their purchasing behavior. As sales gradually move online, digital platforms have become an important driver of growth. Notably, the proportion of revenue from e-commerce in China's gold jewelry market increased from 5.9% in 2019 to 7.4% in 2024. As digital platforms play an increasingly important role in consumers' lifestyles, jewelry companies have expanded their online business, reaching a wider customer base through e-commerce websites and social media platforms. At the same time, traditional physical stores are also actively integrating digital technologies such as live streaming, mini-programs, and cloud platforms to create seamless online-to-offline customer experiences that cater to the preferences of different consumers.

● Leading jewelry companies have obvious advantages

The concentration of the Chinese jewelry market industry is gradually increasing. The market share of the top five jewelry brands in terms of offline store count has risen from 29.7% in 2019 to 35.9% in 2024, which is evident. This growth reflects the expanding dominance of large companies, mainly driven by economies of scale—making large physical operations more efficient, allowing them to sell products at competitive prices while maintaining high profit margins. In addition, industry consolidation enables large jewelry companies to invest heavily in branding and marketing, increasing market exposure and attractiveness. As the importance of brand value becomes increasingly prominent, major market participants can allocate significant resources to establish and maintain their brand image, further consolidating their market position. Moreover, large companies usually have extensive retail networks and strong online platforms, which can cover a wider customer base and respond more flexibly to market trends. This strategic expansion also supports investments in product design to cater to changing consumer preferences, adding momentum to the continuous growth of the jewelry market.

The Chinese gold and jewelry market has shown volatile growth, increasing from RMB 328.2 billion in 2019 to RMB 568.8 billion in 2024, with a compound annual growth rate of 11.6%. Notably, in 2024, franchise stores held the largest share in the gold and jewelry market, accounting for 72.3%. However, the fastest-growing channel is e-commerce, which saw the highest compound annual growth rate during this period, reaching 16.8%, highlighting the accelerated transformation towards digitization and consumers' increasing preference for online shopping convenience.

The market is expected to continue growing, reaching RMB 818.5 billion by 2029, with a compound annual growth rate of 7.6% from 2024 to 2029. The continuous demand for gold jewelry as a means of wealth preservation, the advancement of jewelry craftsmanship, and the ongoing integration of online and offline retail channels to improve accessibility will support this growth. The e-commerce channel is expected to maintain strong growth, with a compound annual growth rate of 9.7% from 2024 to 2029, indicating the increasing importance of digital platforms in the gold jewelry market. Franchise stores and offline self-operated stores are also expected to grow steadily, with compound annual growth rates of 7.4% and 7.7%, respectively, during the same period.

Online platforms are playing an increasingly important role in China's gold jewelry market. From 2019 to 2024, the compound annual growth rate of gold jewelry revenue from e-commerce platforms was 16.8%, higher than the 11.4% compound annual growth rate from offline channels. During the period from 2024 to 2029, it is expected that revenue from online platforms will maintain a compound annual growth rate of 9.7%, while revenue from offline channels will show a compound annual growth rate of 7.4%. Notably, the growth rate of e-commerce channels exceeds that of offline channels, highlighting the rapid expansion of digital sales. Online platforms are playing an increasingly important role in shaping consumer purchasing behavior. Jewelry brands are accelerating their digital transformation to adapt to changing needs, especially among young digital natives.

● The Cultural Significance of Gold Jewelry

The significant meaning of gold jewelry to Chinese culture deeply influences the market. Gold, as a symbol of prosperity and good luck, is deeply rooted in traditional Chinese culture. At the same time, gold jewelry in China is also intertwined with the concept of 'fortune,' symbolizing good luck and blessings, which has elevated it beyond mere decorative items to become a precious part of family heritage. This value has both economic and symbolic significance, echoing the themes of cross-generational blessings and inheritance. In life events such as weddings, major festivals, and celebration occasions, the noble status of gold is particularly important. Traditionally, as a symbol of 'fortune,' it is regarded as a precious gift. In addition to its traditional meaning, gold jewelry can also express oneself and serve as personal adornment, enhancing personal taste and confidence. This dual role demonstrates the enduring popularity of gold in China and its cultural symbolism, driving demand while preserving its role in personal and family history.

● Increased investment attractiveness

The increasing investment attractiveness of gold and jewelry in China is closely related to the sustained upward trend in gold prices. The rise in gold prices is mainly driven by heightened global economic uncertainty and rising inflation. Gold is increasingly sought after by investors because it can hedge against currency devaluation and provide a safe-haven function during financial turmoil. The pursuit of investors has stimulated demand, thereby driving up gold prices and enhancing its reputation as a hedge tool. Unlike other financial assets, gold holds a unique position due to its ability to provide tangible value. In China, gold carries profound cultural significance, and consumers like to buy gold jewelry not only for decoration but also for its enduring financial and cultural value. Such concepts have further integrated gold jewelry into people's daily lives and investment portfolios.

● Process and design improvements

In the Chinese gold jewelry market, driven by technological progress and the growing demand for high-quality, intricate designs among consumers, craftsmanship and design enhancement are becoming an important trend. Brands are increasingly valuing artisanal craftsmanship and combining traditional goldsmith skills with modern aesthetics, preserving cultural heritage while adding uniqueness to their products. In addition, the Chinese gold jewelry market is undergoing significant changes. Influenced by the unique tastes of younger consumers, gold jewelry designs are becoming more youthful and avant-garde. This customer group combines traditional values with contemporary fashion trends, creating a demand for designs that have a sense of modernity and fashion while retaining cultural significance.

According to a report by Frost & Sullivan, for the year ending December 31, 2024, the company's brand Saturday Fort ranked fifth among all jewelry brands in China in terms of offline store count.

Remarks:

(1) Our company only includes the 'Saturday Fest' brand;

(2) The numbers in the above table represent the number of offline stores for each brand of the respective company.

Data source: Annual report, Frost & Sullivan report

According to the report of Frost & Sullivan, for the year ending December 31, 2024, the company ranked tenth among all gold jewelry companies in China in terms of revenue from gold jewelry products.

Remarks: (1) The numbers in the table above represent the market share of each company based on gold jewelry revenue.

Data source: Annual report, Frost & Sullivan report

According to the Frost & Sullivan report, for the year ending December 31, 2024, the company ranked sixth in terms of total merchandise transactions generated by its gold jewelry products among all gold jewelry companies in China.

Remarks: (1) The numbers in the table above represent the market share of each company based on the total transaction volume of gold jewelry goods.

Data source: Annual report, Frost & Sullivan report

According to a report by Frost & Sullivan, for the year ending December 31, 2024, the company ranked fifth among jewelry companies operating mainly through franchise models in China, based on the total merchandise transaction volume generated by jewelry products.

Remarks:

(1) The jewelry companies listed in the table mainly adopt a franchise model. As of the year ended December 31, 2024, franchise revenue accounted for more than 50% of their total revenue;

(2) The numbers in the above table represent the market share of each company based on the total transaction value of jewelry goods.

Data source: Annual report, Frost & Sullivan report