Pacific Textiles Anticipates Profit Decline

Pacific Textiles Holdings (HK:1382) has released an update.

Pacific Textiles Holdings has issued a profit warning, expecting a 60.6% decrease in profit attributable to equity holders for the fiscal year ending March 2024, primarily due to higher interest expenses, losses from a new Vietnam factory setup, and impairment losses related to its investment in Teejay. Despite the downturn, the management is optimistic about the future, citing improvements in the Panyu factory’s utilization rate and potential increases in production capacity and demand after the Vietnam factory reaches full-scale production. The company remains confident in its dividend policy and the recovery of Teejay and the Sri Lankan economy.

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