Contact
QR code for the current URL

Press release Box-ID: 590667

Firstextile AG Lyoner Str. 14 60528 Frankfurt am Main, Germany http://www.firstextile.de
Contact Mr Claudius Krause +49 611 20585528
Company logo of Firstextile AG
Firstextile AG

Firstextile AG publishes final figures for 2012 and positive outlook for 2013

(PresseBox) (Frankfurt am Main, )
.
- 36.3% increase in revenue to EUR 179.5 m and 35.9% increase in net profit to EUR 32.5 m
- EBIT up 36.3% to EUR 40.1 m at an EBIT margin of 22.3%
- Liquid funds of EUR 49.5 m to finance the company's further expansion strategy
- Revenues between EUR 204 m and EUR 221 m and EBIT margin between 20% and 24% expected for 2013

Firstextile AG (FT8) today published its annual report for the full financial year 2012. The company is the holding company of a leading Chinese producer of high-end yarn-dyed fabrics, provider of fabrics as well as shirts designed for uniforms and of its own branded premium men's shirts. The disclosed financial figures confirm Firstextile's strong performance in 2012 as already indicated by the preliminary figures. For 2013, the management expects continuous growth both in revenues and earnings.

In 2012, Firstextile's three business segments Fabric, Uniforms and Shirts showed strong growth, with the Uniforms segment showing the strongest growth both in absolute and relative terms. This positive development led to total revenues increasing by 36.3% to EUR 179.5 m (2011: EUR 131.7 m). The company's gross profit is up 38.5% to EUR 56.4 m corresponding to an improved gross profit margin of 31.4% (2011: EUR 40.7 m; 30.9%). According to the final figures, Firstextile's earnings before interest and taxes (EBIT) increased by 36.3% to EUR 40.1 m (2011: EUR 29.4 m) with an EBIT margin of 22.3% (2011: 22.3%). Adjusted for the non-recurring IPO costs the EBIT margin even improved to 24.0%. Net profit increased 35.9% to EUR 32.5 m (2011: EUR 23.9 m), resulting in a net profit margin of 18.1% (2011: 18.2%; 19.8% adjusted for IPO costs). The difference of EUR -1.8 m to the preliminary figures published on 28 February 2013 mainly results from reclassifying a larger portion of the IPO costs of EUR 1.2 m (EUR 3.0 m vs. previously EUR 1.8 m) to expenses in the P&L statement instead of adjusting equity directly, as well as EUR 0.6 m changes of deferred tax assets recognized on loss carried-forward of the single entity Firstextile AG. Both of these two late adjustments are non-recurring in nature and do not have an impact on the operating cash flows or adjusted EBIT of the group. Overall, earnings per share (EPS) amounted to EUR 3.17 (2011: EUR 2.39).

Fred Yang, founder and CEO of Firstextile, comments on the company's final figures: "We are very satisfied with our business performance in the financial year 2012 since we continued to grow in all three business segments. This underlines the high potential of our business strategy to focus on domestic high-growth markets for garment and textile." Fred Yang is also very confident for the current financial year: "Due to the positive business environment and the corresponding high demand for our products we intend to expand our production capacities in 2013. Our liquid funds of around EUR 50 m and the positive cash flow are an excellent basis to realize our expansion plan on schedule. Overall, we expect an increase in revenues up to an amount of between EUR 204 m and EUR 221 m for 2013. With a stable EBIT margin between 20% and 24% this growth should result in increasing earnings per share."

In 2012, Firstextile reported a positive cash flow from operating activities amounting to EUR 14.4 m (2011: EUR 25.4 m). The decrease compared to 2011 is due to an increase in inventories as well as trade and other receivables as a result of the company's strong operative growth in 2012. Besides, Firstextile AG continues to enjoy an excellent cash position together with a high equity ratio of 67.1% (2011: 49.2%).

As the German holding, Firstextile AG reports in Euro (EUR) currency, the increase in revenues and earnings is also influenced by the development of the exchange rate Euro (EUR) to Renminbi (RMB). In terms of Renminbi, Firstextile's revenues increased by 22.8% in 2012 compared to 2011 (EUR: 36.3% increase), while net profit rose by 22.5% (EUR: 35.9% increase).

As of today, the full 2012 annual report is available for download from the company's website at www.firstextile.de within the "Investor Relations" section.

Firstextile AG

Firstextile is the leading manufacturer of high-end yarn-dyed fabric in the Chinese market with a market share of approx. 9% in terms of volume in 2011. It also markets fabric and shirts specifically designed for uniforms used by Chinese government institutions and enterprises, as well as its own branded men's shirts with the two brands "Varpum" and "Firstextile" for the Chinese premium market segment. The company operates modern production facilities in Jiangyin near Shanghai, China, which is one of the main centres of the Chinese textile industry and it focuses particularly on high product quality. As the company already operates almost at its maximum capacity it plans to use the net proceeds from the successful completion of the IPO in November 2012 and further cash flows to double the current after-finishing capacity of 36 million metres to 72 million metres in order to meet future demand. At the same time, weaving capacity is intended to be expanded from short of 11 million metres to 27 million metres and dyeing capacity from 7,900 tons to 15,800 tons.

The publisher indicated in each case is solely responsible for the press releases above, the event or job offer displayed, and the image and sound material used (see company info when clicking on image/message title or company info right column). As a rule, the publisher is also the author of the press releases and the attached image, sound and information material. The use of information published here is generally free of charge for personal information and editorial processing. Please clarify any copyright issues with the stated publisher before further use. In case of publication, please send a specimen copy to service@pressebox.de.
Important note:

Systematic data storage as well as the use of even parts of this database are only permitted with the written consent of unn | UNITED NEWS NETWORK GmbH.

unn | UNITED NEWS NETWORK GmbH 2002–2022, All rights reserved

The publisher indicated in each case is solely responsible for the press releases above, the event or job offer displayed, and the image and sound material used (see company info when clicking on image/message title or company info right column). As a rule, the publisher is also the author of the press releases and the attached image, sound and information material. The use of information published here is generally free of charge for personal information and editorial processing. Please clarify any copyright issues with the stated publisher before further use. In case of publication, please send a specimen copy to service@pressebox.de.