Growth continues for Stella in second quarter

Hong Kong
Published:  15 July, 2022
Credit: What For

Stella Group has announced its unaudited financial results for the second quarter and first half of the 2022 fiscal year, ended June 30.

The group achieved unaudited consolidated revenue of US$443.9 million, an increase of 13.2% year-on-year. For the first half of the year, the result was up 18.9% to US$827.2 million.

Shipment volumes for the second quarter and first half of the year increased by 3.4% and 9.4% respectively, which the company attributed to the fashion, sports and luxury footwear segments.

The company also noted that an increase in the average selling price of its products across the two periods was primarily driven by changes to product and customer mix as well as high material costs.

Although the group is still finalising its first half results, it expects a net profit of at least US$52 million, a significant increase from US$32.2 million in the same period the previous year.

Chi Lo-Jen, Chief Executive Officer of the Group, said: “It is pleasing to see the continued resilience of our manufacturing business in the first half of the year. However, visibility remains a concern for the second half of the year as we grapple with headwinds including inflation, the Covid-19 situation in China and interest rate hikes.”