Weak Demand Dents Sales at China's Kingold

RAPAPORT... Sales and profit at Kingold Jewelry decreased in the secondquarter as the China-based gold supplier noted a decline in demand for itsbranded jewelry. Total revenue dropped 12% year on year to $598 million inthe three months ending June 30, the manufacturer and designer of jewelry,ornaments and investment products said last week. Profit fell 7% to $12.6million. The decrease in sales was primarily driven by a decline inpurchases for the company's branded products, as well as a foreign-currencyloss due to the depreciation of the yuan, Kingold noted. Those factors outweighedincreased sales of the company's customized products and a rise in the averageselling price. Image: Gold jewelry. (Max Pixel)