Higher expenses have translated to catastrophe for Sparkle Roll Group ltd., which distributes Rolls-Royce and Lamborghini cars in China. It seems that for the first time in nearly two years, a first-half profit decline is being blamed on higher expenses. Don’t worry if you are in the States, you can still grab a flashy Rolls-Royce rental Miami style or a shiny Lamborghini Gallardo rental from Imagine Lifestyles luxury rentals sans issues.
Wait a minute, isn’t the Chinese market the booming exotic car magnet currently? The holy grail of money and investments? With all of the luxury carmakers setting up shop there, it is certainly surprising news that the stock for Sparkle Roll Group ltd has dropped approximately 15 percent in Hong Kong, marking the largest intraday decline since December 10, 2008, trading a full 9.3 percent lower at HK $1.28.
The first-half net income of the luxury company declined 8.6 percent from the previous year to HK $32.6 million ($4.2 million). This drop is thanks to expenses incurred by options and convertible bonds, according to Sparkle’s filing of the stock exchange.
Is this a sign of things to come? Are luxury car companies hitching their wagon a touch too soon? I am all about high hopes, let’s just hope this thing pans out and points toward recovery.
Don’t miss our fleet of exotic rental cars Miami on your way out!
Post by Imagine Lifestyles Luxury Rentals