New World Department Store China, a unit of Cheng Yu-tung's New World Development, said full-year underlying profit rose 55 per cent as mainlanders spent more on household products, food and clothing.
Profit from core business reached HK$244.78 million yuan for the year to June, while sales gained 31 per cent to HK$982.16 million.
Including a HK$58 million one-off gain from the disposal of three stores - in Dalian, Kunming and Ningbo - net income rose 91.8 per cent to HK$302.77 million, from HK$157.94 million a year ago.
Its earnings exceeded the HK$265 million forecast in its listing prospectus and a mean estimate of HK$252.57 million from a Thomson Financial poll of three analysts.
The retailer, which raised HK$2.56 billion in an initial public offering in July, said sales grew on a 140 per cent jump in management fees to HK$106 million.
Concessionaire commissions rose 23 per cent to HK$759 million while direct sales rose 34 per cent to HK$117 million.
Executive director Adrian Cheng Chi-kong, a grandson of Cheng Yu-tung, said the company had lowered commission rates in new stores to attract suppliers, especially international brands.
