GTI FY’22 Net Profit Triples, Revenue Dips

Grand Twins’ fourth quarter falls 50 percent on deferred exports but fails to drag down full year earnings in FY’22
Factory workers leave work in Phnom Penh, August 8, 2022. Kiripost/Siv Channa
Factory workers leave work in Phnom Penh, August 8, 2022. Kiripost/Siv Channa

Garment manufacturer Grand Twins International (Cambodia) Ltd (GTI) recorded a 50 percent year-on-year decrease in net profit for the fourth quarter ended December 31, due to the deferring of export schedule for orders to 2023.

Its filing with Cambodia Securities Exchange yesterday showed net profits of $440,412 compared to $880,426 in the fourth quarter of 2021, while quarterly revenue sank 25 percent to $25.4 million from $35.3 million a year ago.

GTI CEO Chen Tsung-Chi said the company is committed to enhance its corporate governance and accomplish its vision and mission. “Our target is to achieve higher profits, more than the previous years,” he said.

For the full financial year ended December 31 (FY22), net profit surged nearly 200 percent to $853,028 from $286,905 in FY21, although revenue fell 18.5 percent to $102.5 million versus $125.8 million in the corresponding period last year.

The Taiwanese-owned company, which purchases its raw material from Taiwan, China, Thailand and Vietnam, is a sports original design manufacturer for big name brands.

These include Adidas, Reebok, Taylor Made, Salomon, New Balance, Kohl’s, Nautica, NorthFace and Russell Athletic.

However, as of the fourth quarter of 2022, Adidas is “no longer preserved” as a constant major customer.

Export destinations include Europe, which makes up 56 percent of its total revenue, the US (28 percent), Asia and other countries (16 percent) in the fourth quarter of 2022.

At the time of press, the counter dipped 0.9 percent to 3,380 riel, with 513 shares transacted for a full market capitalisation of 135.2 billion riel ($33.5 million).