The company expects 2025 revenue to exceed 30 billion yuan, more than tripling year-on-year, with net profit also up over 220%. Growth has been supported by rapid store expansion, premium mall positioning and increasing brand recognition, as well as continued product upgrades.
The rally in gold prices has been a key tailwind. Spot gold rose nearly 65% in 2025, reinforcing demand for gold jewelry as both a luxury good and a store of value — particularly in an environment of economic uncertainty and soft consumer confidence.
This dynamic reflects a broader shift in China’s consumption patterns, where discretionary spending remains uneven but demand for “wealth-preserving” assets is strengthening. High-end gold brands have benefited disproportionately, especially those with strong retail networks and positioning alongside global luxury peers.
However, rising input costs are beginning to weigh on profitability. Laopu Gold’s gross margin declined in the first half of 2025, and further pressure is expected despite continued revenue growth.
The company is also accelerating overseas expansion, with plans to enter markets such as Japan and Singapore, reflecting growing ambitions among Chinese consumer brands to internationalize.
🧭 Takeaway for Global Investors
China’s gold jewelry boom is not just a price story — it signals a shift in consumer behavior.
👉 In a weak consumption environment, spending is rotating toward:
- assets with perceived store-of-value characteristics
- premium, brand-driven categories
This suggests China’s consumption recovery will be selective rather than broad-based, with “safe-haven consumption” emerging as a key theme.