GILDAN PROFITS LEAP 83.8% FOR THE YEAR
NEW YORK — Profits at Gildan Activewear Inc. surged 77.2 percent in the fourth quarter and 83.8 percent in the year ended Oct. 3.
The T-shirt and sweatshirt manufacturer, based in Montreal, earned $6.9 million, or 50 cents a share, up from $3.9 million, or 38 cents, a year ago. Sales gained 48.9 percent to $65.7 million from $44.1 million.
Figures were converted from the Canadian dollar at the current exchange rate.
In the full year, earnings climbed to $16.2 million, or $1.41, from $8.8 million, or $1 a year ago. Sales jumped 55.4 percent to $223.9 million from $144.1 million.
H. Gregory Chamandy, chairman and chief executive officer, said the firm plans in 2000 to continue to expand capacity in its existing manufacturing infrastructure and invest in technology to maintain its low-cost structure. Chamandy also said the firm expects to achieve a “significant presence” in new product lines, golf shirts and cotton-polyester blend T-shirts, in the U.S. and Canada.
Regarding overseas expansion, the firm said shipments to Europe will commence in January, and 15 distributors have already been lined up in Western Europe. Gildan has also signed an initial sales contract with a multinational Japanese trading company, Marubeni. He said sales in Europe and Japan should reach about $130 million in sales over the next three years.