Eclat expecting revenue increase in fourth quarter
By Chen Cheng-hui / Staff reporter
Eclat Textile Co (儒鴻) yesterday said that its fourth-quarter revenue is expected to exceed the third-quarter level, driven mainly by higher shipments and steady average selling prices.
The garment and fabric supplier is highly confident in achieving record revenue and profit for the full year, Eclat chairman Richard Wang (王樹文) said on the sidelines of the Taipei Innovative Textile Application Show.
Third-quarter revenue was NT$10.57 billion (US$332.6 million), up 4.8 percent from the previous quarter and 9.7 percent from a year earlier, marking the highest quarterly figure since the third quarter of 2022, company data showed yesterday.
Eclat Textile Co chairman Richard Wang poses for a photograph at the company’s booth at the Taipei Innovative Textile Application Show at the Taipei Nangang Exhibition Center’s Hall 1 yesterday.
Photo: CNA
Cumulative revenue for the first three quarters totaled NT$30.28 billion, up 5.4 percent annually, the data showed.
The company reported record full-year revenue of NT$39.74 billion in 2022.
Eclat’s production facilities are operating at full capacity, an online report by the Chinese-language Liberty Times (the sister newspaper of the Taipei Times) yesterday quoted Wang as saying.
People look at various clothing samples on display during the Taipei Innovative Textile Application Show (TITAS) in Taipei yesterday.
Photo: EPA/RITCHIE B. TONGO
The company is positive about its operating performance in the first quarter of next year, with order visibility extending to the second quarter, he said.
While the company’s product prices are expected to trend upward next year, the actual increase would depend on the price movements of oil and raw materials, he added.
Eclat’s major brand customers, such as Nike Inc and Lululemon Athletica Inc, have seen sharp declines in sales and share prices this year amid war-driven inflation, shifting market trends and fierce competition in the Chinese market.
Against this backdrop, orders from Nike and Lululemon have slowed, but Eclat still maintains close collaboration with them, and some urgent Nike orders are being shipped via air freight, Wang said.
Eclat, which also counts global brands such as Gap Inc, Target Corp and Under Armour Inc among its top customers, has added three new customers this year, and one of them started to place orders in the third quarter, he said.
The rapid growth of new customers has helped fill the gap left by large customers, he added.
Under the theme “Airflow,” Eclat displays functional materials and design for sportswear and athleisure apparel at the annual textile expo at Taipei Nangang Exhibition Center’s Hall 1.
The three-day event features the latest textile technologies and applications by 410 exhibitors from 12 countries across 977 booths, organizer Taiwan Textile Federation said.
KioskNews shows a cleaned-up reading view extracted from the publisher’s page — the original always lives on their site, not ours.