---
title: "Longfeng (2290) Achieves Record High in Annual Revenue and Net Profit, Plans to Add 6-7 New Stores This Fiscal Year"
type: "Topics"
locale: "en"
url: "https://longbridge.com/en/topics/42433102.md"
description: "Long Fung (2290) Achieves Record High Annual Revenue and Net Profit, Plans to Add 6-7 New Stores This Fiscal Year Long Fung Group (2290) just announced its full-year results for the 2026 fiscal year, delivering another outstanding report card. Benefiting from the active expansion of its retail network and steady growth in same-store sales, the group's revenue and net profit both reached their best-ever performance. During the year, revenue increased significantly by 33.2% year-on-year to approximately HK$3.28 billion; gross profit rose by 30.6% year-on-year to about HK$1.02 billion; and net profit surged by 57.9% year-on-year to around HK$270 million..."
datetime: "2026-07-06T04:12:58.000Z"
locales:
  - [en](https://longbridge.com/en/topics/42433102.md)
  - [zh-CN](https://longbridge.com/zh-CN/topics/42433102.md)
  - [zh-HK](https://longbridge.com/zh-HK/topics/42433102.md)
author: "[亚太商讯那些事儿](https://longbridge.com/en/profiles/18018177.md)"
---

# Longfeng (2290) Achieves Record High in Annual Revenue and Net Profit, Plans to Add 6-7 New Stores This Fiscal Year

Long Fung (2290) Achieves Record High in Annual Revenue and Net Profit, Plans to Add 6-7 New Stores in This Fiscal Year

Long Fung Group (2290) has just announced its full-year results for the 2026 fiscal year, delivering another impressive performance. Benefiting from the active expansion of its retail network and steady growth in same-store sales, the Group's revenue and net profit both reached all-time highs. During the year, revenue increased significantly by 33.2% year-on-year to approximately HKD 3.28 billion; gross profit rose by 30.6% year-on-year to approximately HKD 1.02 billion; and net profit surged by 57.9% year-on-year to approximately HKD 270 million.

Long Fung's profitability is not a temporary spike but a sustained upward trend. Looking back over the past few years, the Group's revenue grew substantially from about HKD 1.094 billion in the 2023 fiscal year to about HKD 2.461 billion in the 2025 fiscal year, with a compound annual growth rate of 50%. Even facing a moderate recovery in the overall retail market in 2025, Long Fung still recorded ideal growth, with revenue growth outperforming the market for four consecutive years. Behind these figures lies not only the solid strength of Long Fung's core business but also a full reflection of the Group's ability to effectively drive internal growth while expanding in an orderly manner. For investors, this operational capability of "expanding externally while growing internally" is precisely the key to a stable and promising long-term outlook.

**Dividend Payout Ratio Raised to 60%, Showcasing Management's Confidence**

Another highlight of these results is the Group's proactive adjustment to its dividend policy. The Group plans to distribute dividends of no less than 60% of its distributable profits to shareholders starting from the 2027 fiscal year. Compared to the post-listing dividend plan disclosed in the prospectus, which initially planned to distribute no less than 50% of distributable profits, the Group decisively increased the payout ratio immediately after listing. This move of "raising dividends upon listing" is relatively rare in Hong Kong's new share market.

This action by management not only reflects their confidence in the Group's future cash flow and profitability but also demonstrates their commitment to sharing operating results with shareholders. For investors seeking stable returns, Long Fung's positioning is undoubtedly clearer, offering both growth momentum and generous returns, making it a well-rounded choice for both offense and defense.

**Physical Retail Continues to Drive Growth, Same-Store Sales Rise in Tandem**

Physical retail continues to be the main engine of the Group's growth. During the year, the Group's retail network further expanded from 25 stores to 31 stores, strategically located in core tourist areas and residential areas with consumption potential, catering to both tourist and local consumer needs, thereby further consolidating market coverage. The physical retail business contributed approximately HKD 3.2 billion in revenue for the full fiscal year, a significant increase of 33.9% year-on-year, continuing to be the Group's most stable growth pillar. Additionally, benefiting from the rebound in visitor numbers to Hong Kong, the gradual recovery of local consumer sentiment, and the completion of the ramp-up period for new stores opened in the 2024 and 2025 fiscal years, the Group recorded ideal performance in same-store sales. In the first quarter alone, comparing the revenue of 22 comparable stores that were in continuous operation in the first quarter of 2026 and the first quarter of 2025, the same-store sales growth rate reached 14.8%.

Looking ahead to the 2027 fiscal year, the Group plans to open another 6 to 7 new retail stores while also expanding the retail space of existing stores to further unleash the growth potential of same-store sales. This shows that Long Fung's growth is not solely reliant on opening new stores to "win by quantity" but rather on the simultaneous efforts of both new and old stores, with the profitability of each store continuously improving.

**Diversified Product Matrix Provides Support, Three Major Categories Grow Simultaneously**

In addition to store expansion, a diversified product portfolio is also one of Long Fung's core advantages in attracting customers and enhancing profitability. Each store offers over 9,000 SKUs, covering 11 major product categories including pharmaceuticals, health supplements, skincare products, cosmetics, and personal care items, comprehensively meeting customers' "one-stop shopping" needs. During the year, the Group continued to introduce new SKUs and brands, driving revenue from beauty products, health products, and other consumer products to increase by 37.0%, 35.6%, and 40.6% year-on-year, respectively. The Group is also actively developing its own brand products, currently owning over 40 proprietary brands. This not only effectively optimizes the product structure and improves gross profit margins but also gives the Group greater control over supply stability and cost competitiveness.

The Group is simultaneously extending its strategic vision upstream and has established a clear blueprint to gradually extend to upstream suppliers and OEM manufacturing through strategic investments and mergers and acquisitions. This deployment will effectively reduce intermediate links, comprehensively enhance control over the supply chain, and, coupled with the comprehensive upgrade of warehouse management systems and point-of-sale systems, will significantly improve operational efficiency, further solidifying the Group's competitive barriers.

Overall, Long Fung Group delivered outstanding results in the 2026 fiscal year, with both revenue and net profit reaching new highs and outperforming the market for four consecutive years, fully demonstrating its solid business foundation and excellent execution. From retail network expansion and same-store sales growth to a diversified product portfolio and supply chain extension, each step embodies the business philosophy of "orderly expansion and simultaneous quality improvement." Raising the dividend payout ratio less than a month after listing speaks volumes about management's confidence in future development. Combining low valuation with high dividends, Long Fung is well-equipped for both offense and defense, possessing not only robust cash flow support but also a clear growth path, coupled with generous shareholder return commitments, making it absolutely worthy of investors' consideration.

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## Comments (1)

- **还有一块钱 · 2026-07-06T06:26:28.000Z**: Scam article