Kuan Hsing July Revenue Up 30% Year-on-Year to Record High; Chun Pang Grows 77% Despite Off-Season

Fabric manufacturers have released their July revenue figures. Kuan Hsing-KY (4439-TW) reported revenue of NT$813 million, a 32.6% year-on-year increase and a record high for the same period. Chun Pang KY (4442-TW) posted revenue of NT$135 million, the second-highest for the period and a significant 77% year-on-year growth. Both companies expressed optimism regarding their third-quarter and second-half performance.

Cumulatively, Kuan Hsing’s revenue for the first seven months reached NT$4.959 billion, the second-highest in history, up 14.54% year-on-year. The company attributed this to newly activated production capacity in Vietnam, sustained strong shipments to existing customers, and increasing volume from new U.S.-based clients AEO and Old Navy. Major clients including Adidas, GAP, and PUMA also placed strong orders this year, leading the company to expect robust third-quarter revenue.

Kuan Hsing stated that its two major self-owned production bases in Vietnam and Cambodia are nearly operating at full capacity. To meet customer demand in the coming year, capital expenditures in the second half will focus on maximizing production capacity and投产 efficiency at its Vietnam facility.

Chun Pang’s cumulative revenue for the first seven months reached NT$1.14 billion, also a historical second-best, up 22% year-on-year. The company noted that revenue growth was driven by the commencement of shipment recognition for core product lines from key sports brand customers, along with continued order growth from other sports and outdoor brands.

Chun Pang further explained that compared to seasonal products, core products represent long-term, stable sales lines for brands, characterized by large order volumes, long life cycles, and high repeat order rates. These attributes enhance the company’s order visibility and revenue stability.

Looking ahead, Chun Pang expects the benefits of core orders to gradually materialize and transition into mass production, while new production capacity in Vietnam continues to roll out. These effects are expected to become increasingly evident from the second half onward and may extend into subsequent years, serving as a key driver for mid-to-long-term operational growth.