The old adage that Hong Kong rag traders are only good for pushing cheap clothes is being revised.
A growing band of companies are strongly branding their product in Hong Kong and in international markets, including Giordano, Bossini and Esprit.
Goldlion has not only managed to get a name in Hong Kong and the region but it has made it in China as well, after a decade of trying.
On Monday the company reported results ahead of expectations with a 41 per cent leap in attributable profit, for the year to March 31, at $283.25 million.
With an initial outlay of $3,000 in 1972, Tsang Hin-chi has forged a strong brand image for menswear products which in recent years has caught on among upwardly mobile men in China.
Success in China has fired enthusiasm among fund managers. Goldlion shares are on 20.5 times historic earnings and 16.7 times current financial year's. Despite this high rating, and the expectation that earnings growth will slow this year, many brokers maintain buys on the stock.
