Canadian dollar affects CY Oriental’s Q3 results
Canadian incorporated, China-based apparel and sportswear manufacturer CY Oriental Holdings Ltd. has posted improved financial results for its third quarter ended September 30. Revenues for the third quarter increased 2.5% to C$11.3 million (US$11.5 million) compared with $11 million for the third quarter of 2006. Revenues were down 9.8% compared with the second quarter, primarily as a result of the appreciation in the Canadian dollar. For the nine months ended September 30, revenue increased 7.4% to $33.6 million compared with $31.3 million in the prior-year period.
Income for the third quarter was approximately $0.4 million compared with $1.5 million in the same quarter last year, a decrease of 75.8%, while income for the nine-month period fell 23.6% to $3.8 million compared with $5 million.
"During the quarter, we made continued progress toward readying our new state-of-the-art facility in Tengzhou for regular production," said chairman, president and CEO, Ping Chen. "The test runs at the first two of four sewing workshops progressed well with quality and production efficiency meeting management expectations,” he added. The company is strengthening its relationship with VF Corporation, for which it already provides products under the Lee and Eastpak brands.
The company also announced that vice president, business development, Chris Chen has resigned.
