The footwear manufacturer and retailer (which also has its own tannery operations) achieved a consolidated revenue increase of 4.8% to US$460.5 million for the three months ended September 30, 2022.

For the first three quarters of the year combined, revenue was up by 13.5% to US$1.29 billion, which the company attributed to increased manufacturing orders.

Shipment volumes for the third quarter and the first three quarters of 2022 were up by 0.7% and 6.5% respectively, driven by the sports and fashion footwear segments.

Average selling price was up by US$0.30 in the third quarter and US$1.60 for the first nine months of the year, which Stella reported was driven by changes in product and customer mix.

The group reports that it will continue to face tougher revenue and shipment volume comparisons in the coming months as the manufacturing business was operating at full utilisation in the second half of 2021.

Caution around a rapidly changing macroeconomic and geopolitical environment also continues to create uncertainty for its order book, Stella said.

Chi Lo-Jen, CEO of the Group, said: “Macroeconomic headwinds, particularly Covid-19 related lockdowns in China that are impacting consumer demand, will continue to weigh on the confidence of some of our customers.

“At the same time, our top-line growth in the second half of the year is facing pressure from high base effects. But we expect our margin-expansion strategy will continue to deliver benefits in the coming quarters and beyond.”