Stella Group reports revenue up 36% in 2021

Hong Kong
Published:  18 March, 2022
Credit: What For

The footwear manufacturer and retailer, which also owns Simona Tanning, has announced its 2021 financial results.

Stella achieved consolidated revenue of US$1.54 billion, an increase of 35.6%, while shipment volumes for the year rose by 28.5% to 55.8 million units.

Net profit was slightly offset by higher product development costs in the year, which the company says is related to luxury customers seeking new styles and complex products, as well as one-off costs primarily due to factory closure severance payments amounting to US$5.7 million.

Stella reported net profit of US$90.8 million for the year ending December 31, 2021, a significant improvement on 2020’s result of US$1.1 million (covid impacted).

Looking forward, the company reports that orders are robust for the Spring and Summer 2022 seasons and expects to operate at full capacity and utilisation throughout the year.

CEO Chi Lo-Jen said: “2021 was a year of recovery. We continued to smoothly progress our long-term margin-accretive strategies: increasing capacity in line with demand, enhancing our customer portfolio and increasing operational efficiency.

“We also completed our management transition and reorganised our internal divisions to better execute our long-term plans and deliver sustainable returns to our shareholders.”