Taiwan's Garment Maker Makalot's H1 Profits up 26.7%

Makalot Industrial Co., a major garment maker in Taiwan, scored combined revenues of NT$9.567 billion (US$318.9 million) in H1 for an annual growth of 13.63%, with pretax profits of NT$1.029 billion (US$34.3 million), up 26.7% year-on-year.

The company attributes such performance to improvements in its textile products and the investment in Tainan Enterprises Co., another major Taiwanese garment maker, to take a 50% stake of NT$270 million (US$9 million) in the latter's subsidiary in Vietnam.

Makalot plans to further invest in the said subsidiary to integrate upstream weaving and dying, aiming to raise production capacity by over 30% with such investment.

This year Makalot has been focusing more on upgrading R&D to develop more functional sportswear, besides turning out products mainly as an OEM but planning to also accept ODM orders.

It targets shipping 12-12.5 million dozens of garments in 2014 for a projected rise of about 20% from last year's 10.5 million dozens, with  the average sales price (ASP) of its garments this year to surge by two percentage points and profits to shoot up 25%. (JL)