Montreal-based Gildan Activewear closed the first economic quarter of 2022 with a record net profit up by some 50% as a result of the quickly rising demand in the United States.
The company earned some $146.4 million (USD), putting them at 77 cents per share across Q1. 2021’s Q1 net profit was $98.5 million, around 50 cents a share.
Furthermore, revenues were up 31.4% versus 2021’s Q1, $774.9 million to $589.6 million. Of this significantly higher number, about $667 million were activewear sales while $108 million were from underwear sales. Activewear sales were up 38% over the year prior, signaling a rise in not only volume but also sale prices.
These margins demolished this quarter’s expectations of $664.3 million in revenue and 51 cents per share in profits, according to financial predictions made by the data firm Refinitiv.
Gildan CEO Glenn Chamandy told reports recently: “Record results in the first quarter and a strong start to 2022 reflect the impact of Gildan’s Sustainable Growth (GSG) strategy.”
Even with the rising margins however, the sale of certain goods has slowed down, namely in the underwear category. It’s not known why this is, however it could be linked back the termination of government stimulus programs in the US.
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