Shoe maker Yue Yuen records 5.8% profit gain
Shoe Yue Yuen International saw a 5.8% increase in net profit to US$95.3 million during the first quarter of this year.
The Taiwan-owned, Hong Kong-based group said its financial performance for the period was hit by a loss in share of results of joint ventures of about $12.6 million.
This included the disposal of equity interests in Symphony Holdings last year.
A non-recurring operating gain of $14 million was recorded, which included $14.5 million from fair-value changes on derivative financial instruments.
Excluding this, the recurring operating profit attributable to owners of the company for the period amounted to about $81.3 million, or a 5.4% decrease.
Approximately 2% more shoes were manufactured in the quarter, with sales growing by 7.6% to 80.2 million pairs.
The positive sales result and net profits are a direct indication of how shoe retailers are tracking throughout the Asian region.
Yue Yuen designs and makes athletic and casual outdoor shoes as well as sandals, and also makes shoe components.
Client brands include adidas, Asics, Converse, New Balance, Nike, Puma, Reebok, Timberland and Under Armour.
The manufacturer has factories in China, Indonesia, Vietnam, Mexico, the US and other areas in Asia.
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