Garment supplier Gildan Activewear has reported “record” results in the first three months of 2022, with sales up 31% year on year.
The international group posted sales of $775 million (£627 million) for the first quarter of its financial year to 3 April, which helped to drive a 30% increase in adjusted gross profit to $239 million (£193 million) for the same period.
Sales of activewear including blank garments were up 38% over the previous year to $667 million (£539.5 million). This increase was said to be “largely driven by volume growth and net selling price increases, as well as favourable product mix”.
The statement added: “Activewear volume growth reflected strong demand in North American markets, particularly in the distributor channel, partly offset by lower international shipments due to ongoing demand weakness in Europe and Asia.”
Gildan’s president and CEO, Glenn J Chamandy, said the record results reflected the impact of the newly introduced Gildan’s Sustainable Growth (GSG) strategy which is centred on capacity expansion, innovation and the company’s environmental, social and governance (ESG) principles.
“Our team’s clear focus on capacity-driven growth, innovation and ESG, leveraging our world-class, vertically-integrated manufacturing platform, is putting us in a strong position to service customer demand while effectively managing inflationary cost pressures.”
Gildan, based in Montreal in Canada, confirmed in February that it would be shutting a distribution centre for its unbranded wholesale activewear in Mebane in North Carolina by 30 June 2022, shifting activities to its main US base in Charleston, South Carolina, over 450 kilometres away.
