Li & Fung sees 2007 profit up 39%

Hong Kong-based retail supplier Li & Fung Ltd<494> said on Thursday its 2007 net profit surged 39% year-on-year powered by significant organic growth and high-margin acquisitions.

Net profit climbed to HK$3.06 billion, or HK$0.895 apiece, compared with HK$2.2 billion or HK$0.671 per share in 2006, according to the company's result. Core net profit, excluding one-off gains on property sales and leasebacks, surged 36% from the previous year to HK$3.19 billion.

Revenue vaulted to HK$92.46 billion in the same period, up 36% from a year before, the strongest turnover growth since 2000. The company noted that it had exceeded its original three-year (2005-2007) plan target of achieving US$10 billion turnover by the end of 2007.

Li & Fung, which is one of the world's leading suppliers of consumer products, also announced a final dividend of HK$0.5, higher than HK$0.39 in the previous year.