HONG KONG: Yue Yuen FY profit jumps 12.5%
- FY profit climbed 12.5% to US$506.2m
- Turnover rose 3.6% to US$7.29bn
- Shoe manufacturing turnover up 1.5% to US$5.07bn
Yue Yuen, the world's largest manufacturer of branded athletic and casual footwear, has seen its full-year profit jump 12.5%, helped by higher sales and more stable material prices.
Turnover in the 12 months to 30 September rose 3.6% to US$7.29bn.
Yue Yuen said retail and wholesale turnover, which was up 13.6% to $1.64bn, had been boosted by continued economic growth in Greater China and the opening of new stores.
But shoe manufacturing achieved turnover growth of just 1.5% to US$5.07bn as its brand customers - especially in Europe - were increasingly cautious in placing orders.
Sales of athletic shoes and casual/outdoor shoes were up by 1.8% and 0.5% respectively. But total shoe manufacturing volume fell by 5.4% to 308.9m pairs.
During the year, gross profit increased by 6.9% to US$1.66bn, helped by stable prices for materials and energy. Yue Yuen also said it had improved factory operating efficiency.
But selling, distribution and administrative expenses increased by 9.1% to US$1.15bn, driven by inflation in Asia, especially China, leading to rising wages and to higher rental costs.
Looking ahead, the group says it expects sales growth across its business to be "moderate," with profit growth "challenged by the variability of market conditions." In the long term, it sees greater demand for athletic and casual shoes as well as sportswear.
This report provides information, analysis and valuable insight on developments relating to the performance apparel industry in the following categories: acquisitions, divestments and mergers; corpora...
This report provides information on the latest developments in: antimicrobial sewing thread; carbon nanotube fibres; compression garments; environmentally friendly finishing treatments; environmentall...
The Zero Discharge of Hazardous Chemicals (ZDHC) Group has launched version two of its Joint Roadmap, aimed at attaining a "new standard of environmental performance for the global apparel and footwea...
Nike is expected to maintain its position as the most important sports brand in Chile. Nike de Chile’s strategy is to continue organising sports events – such as “Nike 10K” or “Nike 300K” – aimed at i...
The Sustainable Apparel Coalition (SAC), which is working to reduce the environmental and social impacts of global apparel and footwear production, has launched a new interactive tool to help provide ...
Nike México SA de CV plans to continue to position itself as one of the top sports brands in the country. In order to accomplish this goal, it will continue sponsoring local sports celebrities and foo...
- Slow fashion: a fast-growing opportunity?
- Rethink needed as low-cost labour options dwindle
- African apparel sector needs cooperation to thrive
- US retailers to face logistics issues into 2015
- New wage ladder lifts workers towards living wages
- Gap unveils management changes as Q3 profit rises
- Long-running SL Garment dispute settled
- Tazreen Fashions compensation agreement outlined
- Puma commits to 100% PFC removal
- US apparel prices continue to fall