Home / Knowledge / News / Apparel/Garments / H1 operating profit at Li & Fung slips 9%
H1 operating profit at Li & Fung slips 9%
23
Aug '14
In what global apparel and fashion accessories supply chain specialist Li & Fung termed as mixed economic landscape, operating profit declined 9 percent in the interim results for first half of 2014.

Li & Fung said a mixed economic landscape and investments in overall infrastructure to improve efficiencies for the longer-term, including the recently established Vendor Support Services business unit, impacted core operating profit which decreased by 9 percent to US$ 227 million.

Total turnover of the Trading division at Li & Fung, which supplies to retailers like Walmart and Target, rose 3 percent year-on-year to US$ 8,710 million, while revenues at the Logistics business surged 44 percent, from the prior year period.

Profit attributable to shareholders, excluding loss of discontinued operations shot up by 45 percent from a year earlier, to US$ 210 million in the first six months of 2014, which also includes a non-cash gain of US$ 98 million on the write-backs of contingent considerations.

Excluding loss of discontinued operations in the January to June 2014 period, basic earnings per share too skyrocketed 45 percent year-on-year to US$ 0.25 from US$ 0.17 from same period in 2013.

“The successful spin-off of Global Brands has paved the way for Li & Fung to focus on our core strengths of trading and logistics, as the world’s leading global supply chain manager,” said William Fung, Chairman of Li & Fung.

He added, “As in previous three year plans, the first year in our plan is always a period of investment. 2014 is also an important period of transition. We have reorganized our business, strengthened our management team and set the stage for our next phase of organic growth.”

Spencer Fung, CEO said, “Our trading business continues to be solid and our logistics business delivered robust organic growth, particularly throughout Asia, through new business wins and successful cross-selling opportunities.”

The Board of Directors at Li & Fung approved an interim dividend of US$ 0.17 per share.

Fibre2fashion News Desk - India


Must ReadView All

Courtesy: Kai Pilger from Pexels

Textiles | On 24th Apr 2018

Pakistan’s textile exports up 7.77% in July-March FY18

The value of textile and garment exports from Pakistan increased by...

Alliance to form joint entity for safety in factories

Apparel/Garments | On 24th Apr 2018

Alliance to form joint entity for safety in factories

On the 5th anniversary of the Rana Plaza Collapse, The Alliance for...

China’s Alibaba partners with Thailand for digital trade

Textiles | On 24th Apr 2018

China’s Alibaba partners with Thailand for digital trade

China’s Alibaba Group recently signed an agreement with the Thai...

Interviews View All

Cyril Pereira
Reed Exhibitions India, organiser of Asian Machine Tool Exhibition 2016

'Major problem in the textile machinery manufacturing industry is the lack ...

C. Dhandayuthapani
Mag Solvics Pvt. Ltd

ITME 2016 exploited our full strength like never before

Kamlesh Vaghela
RK Textiles

Very few machinery manufacturers have R&D units

Harsh Shah

Established in 1956 with a small beginning, Embee today manufactures a...

Erik Sy

Manila-based CustomThread is a start-up offering premium custom apparel...

Suresh P Bagrecha

Komal Texfab, founded in 1981, is into manufacturing of knitted fabrics,...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


April 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.9%
No
12.6%
Skip
17.5%

Total Votes: 103

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.1%
No
29.1%
Skip
7.8%

Total Votes: 103

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.4%
No
8.7%
Skip
3.9%

Total Votes: 103

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
82.5%
No
7.8%
Skip
9.7%

Total Votes: 103


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search