Yesterday, Sa Sa International announced its annual results for the fiscal year ending March 31, 2025. The report showed that the group’s turnover dropped by 9.7% year-on-year to HK$3.942 billion, while profit attributable to owners of the company declined by 64.83% to HK$76.973 million.
Sa Sa International noted that excluding one-off costs related to the closure of its stores in mainland China, core profit was HK$107 million. The decline in performance was mainly attributed to Hong Kong and Macau residents traveling northward or abroad, and cautious spending by tourists to Hong Kong and Macau due to the strong US dollar.
According to the group, the year-on-year decline in offline sales in the Hong Kong and Macau markets narrowed significantly, from 19.4% in the first half of the fiscal year to 6.3% in the second half. Similarly, the decline in same-store sales narrowed from 24.3% to 7.7%, benefiting from the gradual rollout of various economic and tourism stimulus measures and visa policies such as “multiple-entry permits” and “weekly visits.”
The financial report showed that as of March 31, 2025, Sa Sa International operated 84 stores in Hong Kong and Macau. This fiscal year, live-streaming e-commerce began to yield results, contributing 18.3% of total online sales in Hong Kong and Macau. Online penetration in the region rose from 0.1% before the pandemic to 6.7%.
In mainland China, the financial report for FY2024/25 showed that online turnover increased slightly by 0.6% year-on-year to HK$417.9 million, accounting for 80.3% of the region’s total sales. Monthly active users (MAU) of the group’s proprietary WeChat Mini Program grew by 13.4% year-on-year. The group has decided to close all offline stores in mainland China by June 30 and focus its resources on developing online business.
Notably, Sa Sa International’s financial report revealed that the company had already closed 14 offline stores in mainland China during the fiscal year and will proceed to shut down the remaining 18. As of May 31, nine stores had already been closed, with the rest expected to close by June 30.
This means Sa Sa International will completely exit the offline retail market in mainland China.
Elsewhere, in Southeast Asia, offline sales reached HK$331.5 million during the fiscal year, up 15.4% year-on-year. In the first half of the fiscal year, same-store sales in Malaysia and offline sales across Southeast Asia increased by 4.3% and 18.5% respectively. Southeast Asia’s online sales rose 12.4% to HK$88.1 million, accounting for 21% of the region’s total sales.
