Strong activewear and swimwear sales at Tefron
Israel-based intimate apparel, activewear and swimwear producer Tefron Ltd. has reported improved financial results for the fourth quarter and full year 2006.
Fourth quarter revenue reached $50 million, an 8.7% increase over fourth quarter 2005 revenues of $46 million. The increase was driven by sales of the activewear and swimwear product lines, partly offset by a decrease in sales for its intimate apparel products.
Income from continuing operations was $4.7 million (9.3% of revenues) compared with $4.1 million (8.8% of revenues) in the fourth quarter of 2005.
Full year 2006 revenues reached $188.1 million, a 9.8% increase over 2005 revenues of $171.3 million. This increase was again driven by sales growth in the activewear and swimwear product lines.
Income from continuing operations was $18.3 million (9.7% of revenues), an increase of 111.1% from $8.7 million (5% of revenues).
Chief executive officer Yos Shiran anticipated a temporary decline in activewear sales in the first half of 2007 and a strengthening in the second half of 2007 as Nike introduces its next generation of performance apparel. He added that a slight decline in revenue is expected in the first half of 2007.
