Jeweller Chow Tai Fook warns its annual profit could fall by 50 pct

China's largest jeweller by market value, Chow Tai Fook Jewellery Group Ltd, said on Thursday that its annual profit could be half what it reported last year due to continuing weak consumer sentiment.

Chow Tai Fook has repeatedly warned of a weaker business environment and said in January that it would close some of its Hong Kong stores. Its first-half profit was off by 42 percent.

The firm said hedging losses and the sale of more gold items with a lower profit margin, would also impact full year profits.

Chow Tai Fook recorded a profit of HK$5.46 billion last year. It is due to report annual results again on June 5.

Hong Kong retail sales fell for the 13th consecutive month in March, while sales of jewellery, watches, clocks and valuable gifts posted their 19th consecutive month of decline.