Hong Kong apparel brand I.T recently published its financial report for the third quarter of 2019/2020 financial year, stating that during the three months period ended November 30, 2019, the brand's same store sales in Hong Kong and Macau decreased by 33.3% year-on-year; its same store sales in mainland China decreased by 5.2% year-on-year; and its same store sales in Japan and America decreased by 6.1% year-on-year.
The report showed that I.T Group's gross margin decreased to 62.3% during the reporting period. Its gross margin in Hong Kong and Macau decreased to 58.6%; and gross margin in mainland China decreased to 61.5%; and its gross margin in Japan and America decreased to 69.5%.
I.T explained that the recent social chaos in Hong Kong led to the decrease of tourists, which affected its Hong Kong and Macau business.
Meanwhile, the decrease of same store sales in mainland China was attributed to various factors, but the main reason was the group's control over online and offline discount activities in this marketplace.