ISRAEL: Tefron swings to second-quarter profit
- Swings to a Q2 profit of US$1.3m
- Sales increase 1.4% to $29.8m
- Seamless apparel sales up 22%
Lingerie and activewear manufacturer Tefron has swung to a second-quarter net profit on the back of increased sales of seamless apparel.
Operating profit reached $149,000, compared to a $1.3m loss the same period last year, due to seamless segment sales and the company's efforts to continue streamlining operations, as well as a decline in depreciation costs and administration and general expenses.
Sales climbed 1.4% to $29.8m, primarily due to a 22% increase in seamless apparel sales and the company's continuing success in North America.
"In the second quarter of 2012, Tefron recorded an increase of 22.2% in the seamless apparel sector sales," CEO Amit Meridor said.
"This very positive operational result, as well as the stronger financial results we reported are a direct outcome of the large scale investments that we have made at Tefron over the past two years, particularly in the development of new products and the improvement in product mix."
Meridor added that the group is currently in negotiations with a Chinese partner to establish and expand its supply and production resources.
"This is a major and important strategic step in the company's future that will allow us to maximise profitability with increased production capabilities and a competitive cost structure from East Asia that is under the company's control.
"This will also allow our local management to focus more time and resources in the development of advance product lines at the development centre in Israel."
Generally, 2013 is seen as being another challenging year for the apparel industry - although there is cautious optimism for an improved business environment. Issues such as compliance, sustainability...
Opportunities the apparel industry should focus on this year include developing strategic relationships to improve flexibility across the supply chain; a focus on adding value through design, innovati...
What should apparel firms have learnt from the upheaval of the past couple of years - and what should they be doing now if they want to remain competitive into the future? They need to remain nimble e...
Uncertainty is perhaps the biggest challenge facing the apparel industry in 2013. The economic situation in Europe and the US, a combination of rising production costs and flat prices, the pressure to...
The following is a general roundup of US apparel and shoe retailers' January 2013 sales results....
Women's wear retailer Cache has appointed Jay Margolis as its chairman and chief executive officer, replacing Thomas Reinckens who has stepped down....
The most read stories on just-style this week include Limited Brands making its toxic-free fashion pledge, the European Parliament calling for better factory health and safety measures in Bangladesh, ...
- Why China 5-year plan won't change garment-making
- ‘Fixing Fashion’ one stitch at a time
- Navigating a turbulent sourcing landscape
- Supply chains under pressure as Black Friday looms
- Jordan garment sector strong amid regional unrest
- US Q3 in brief: Burlington Stores, Guess, Chico's
- Adidas has greenest textile supply chain in China
- Global clothing and footwear trade to drop by 1.5%
- Cambodia living wage campaign kicks off
- New Balance launches first 3D printed running shoe
- Wearable technology: The future market potential for smart garments and e-textiles
- Practical Brand Sourcing Strategy
- Statistics: Trends in Global and Regional Man-made Fibre Production - 2015
- Myanmar's Garment Sector in 2015 - now with updated members' directory
- Technical Textile Markets: Product Developments and Innovations - 2nd Quarter 2015