In the ever-evolving world of fashion and sportswear, keeping track of the financial performance of industry giants is crucial. As we move through the first quarter of 2023, let’s take a comprehensive look at the Q1 financial reports of 24 prominent apparel and sportswear companies from around the globe.
Sportswear and Gear Companies:
- Nike, Inc.
Nike, Inc., released its Q3 financial results for the fiscal year 2023, ending on February 28th. The company reported quarterly revenue of $12.39 billion, representing a 14% YoY increase compared to $10.87 billion in the same period last year. However, quarterly net profit declined by 11% to $1.24 billion, down from $1.396 billion in the previous year. Notably, the company’s revenue from Greater China fell by 8% YoY, amounting to $1.99 billion.
- Adidas
German sportswear giant Adidas reported a significant 86% decrease in operating profit, down to €60 million, in Q1 2023. The company’s North American business, particularly impacted by the termination of its partnership with American rapper Kanye West’s brand “Yeezy,” saw a 20% decrease in revenue. Overall, Adidas’ global revenue dipped 1% to €5.274 billion (approximately $5.65 billion).
- Puma
Puma announced its Q1 2023 results, showing a remarkable 14.4% increase in revenue, reaching €2.19 billion (around $2.35 billion). The company reported a net income of €117 million. Geographically, the Asia-Pacific region witnessed a sales surge of 27.4%, while the EMEA market (Europe, Middle East, and Africa) saw revenue growth of 25.4%. However, North America experienced a slight decline in revenue by 0.8%. Among product categories, footwear sales rose by 28.8%, while apparel sales increased by 1.5%, and accessories revenue declined by 1.7%.
- Skechers
Skechers unveiled its Q1 2023 financial report, with quarterly sales reaching $2.002 billion compared to $1.82 billion in the same period last year. The company reported a quarterly net profit of $160 million, up from $121 million in the previous year.
- Lululemon
Lululemon, the Canadian sportswear brand, disclosed its Q1 2023 financials, reporting a quarterly net revenue of $2 billion, a staggering 24% YoY increase. The company’s net profit reached $290 million, a significant 52.63% growth.
- Under Armour
Under Armour released its Q4 2023 and full-year results, reporting quarterly net revenue of $1.4 billion, up from $1.3 billion in the same quarter last year. Quarterly net profit amounted to $170 million, compared to a net loss of $59.61 million in the previous year. The company’s full-year net revenue was $5.9 billion, up from $5.73 billion, and the full-year net profit was $387 million, up from $223 million in the previous year.
- ASICS
ASICS announced its Q1 2023 financial report, with quarterly net sales of ¥152.2 billion (approximately $1.09 billion), a significant increase from ¥105.3 billion in the same quarter last year. Quarterly operating profit reached ¥22.1 billion, compared to ¥10 billion in the previous year, and net profit attributable to the parent company’s owners amounted to ¥16.3 billion, up from ¥8.7 billion in the previous year.
- Anta Sports (Xtep International)
Anta Sports, one of China’s leading sportswear retailers, released its annual report, achieving a net income of ¥5.682 billion (approximately $797 million), representing a YoY growth of 9.02%. The net profit attributable to the company’s shareholders was ¥803 million (approximately $112 million), a YoY increase of 11.07%, while the net profit, excluding non-recurring gains and losses, was ¥791 million (approximately $111 million), up by 9.04% YoY.
Apparel and Retail Companies:
- The TJX Companies, Inc.
TJX Companies, the parent company of popular apparel retailers like T.J. Maxx and Marshalls, reported Q1 net sales of $11.783 billion, up from $11.406 billion in the same quarter last year. Quarterly net profit reached $891 million, compared to $587 million in the previous year.
- Inditex Group (Zara)
Inditex, the parent company of Zara, revealed its Q1 results, reporting net sales of €7.611 billion (approximately $8.15 billion), compared to €6.742 billion in the same quarter last year. The company’s EBIT (earnings before interest and taxes) reached €1.483 billion, up from €1.034 billion, and the net profit attributable to the company was €1.168 billion, up from €760 million in the previous year.
- Fast Retailing (Uniqlo)
Fast Retailing, the parent company of Uniqlo, shared its H1 2023 (September 2022 – February 2023) financial performance. The company’s revenue for the period was ¥1.4673 trillion (approximately $10.5 billion), compared to ¥1.2189 trillion in the same period last year. The operating profit for the period reached ¥220.2 billion, compared to ¥189.2 billion, and the net profit attributable to the parent company’s owners amounted to ¥153.3 billion, compared to ¥146.8 billion in the previous year.
- H&M (Hennes & Mauritz)
H&M surprised the market with a SEK 725 million (approximately $80 million) operating profit in the Q1 financial quarter, reducing excess inventory to its lowest level in years. The company’s sales increased by 12% to SEK 54.872 billion (approximately $5.04 billion).
- Ross Stores
Ross Stores reported its Q1 2023 results, with quarterly sales of $4.49 billion, a 3.7% YoY increase from $4.33 billion in the previous year. The company’s net profit reached $371 million, compared to $338 million in the same period last year, and same-store sales increased by 1% in the first quarter.
- Gap Inc.
Gap Inc. disclosed its Q1 financial results, with net sales of $3.28 billion, representing a 5.7% YoY decrease. However, the net loss narrowed to $18 million, compared to $162 million in the previous year.
- VF Corporation
VF Corporation, the parent company of brands like The North Face and Vans, released its Q4 report, showing a 3% decrease in revenue to $2.74 billion, impacted by a 7% decline in sales in the Americas. Nevertheless, strong performance in The North Face and international markets contributed to meeting the quarter’s performance targets.
- Levi Strauss & Co.
Levi Strauss & Co., the parent company of Levi’s, unveiled its Q1 fiscal year 2023 results. The company reported net revenue of $1.689 billion, compared to $1.592 billion in the same period last year. Net profit for the quarter reached $115 million, down from $196 million in the previous year.
- Victoria’s Secret & Co.
Victoria’s Secret & Co. published its Q1 2023 financial results, with quarterly net sales of $1.407 billion. The adjusted operating profit amounted to $55 million, and the adjusted net profit reached $22 million.
- Hanesbrands Inc.
Hanesbrands Inc. disclosed its Q1 2023 financial report, with quarterly net sales of $1.389 billion, down from $1.576 billion in the same period last year. The company reported a quarterly net loss of $34.4 million, compared to a net profit of $119 million in the previous year.
- American Eagle Outfitters, Inc.
American Eagle Outfitters, Inc. shared its Q1 financial report, with total net revenue of $1.081 billion, up from $1.055 billion in the same quarter last year. Quarterly net profit reached $18.45 million, compared to $31.74 million in the previous year.
- Crocs
Crocs announced its Q1 2023 financial report, with quarterly revenue of $884 million, up from $660 million in the same quarter last year. The company’s net profit for the quarter was $150 million, compared to $72.76 million in the previous year.
- Semir Group (Semir Clothing)
Semir Group released its Q1 2023 report, achieving quarterly revenue of CNY 5.682 billion (approximately $796 million), representing a 9.02% YoY increase. Net profit attributable to the company’s shareholders reached CNY 803 million (approximately $112 million), a YoY growth of 11.07%, while the net profit, excluding non-recurring gains and losses, was CNY 791 million (approximately $111 million), up by 9.04% YoY.
- Kontoor Brands, Inc.
Kontoor Brands, Inc., the parent company of Lee and Wrangler, published its Q1 2023 financial report. The company reported net revenue of $667 million, down from $680 million in the same quarter last year. The net profit for the quarter reached $66.3 million, compared to $80.81 million in the previous year.
- Guess
Guess, the American fashion brand, disclosed its Q1 2023 financial report, with quarterly net revenue of $570 million, compared to $593 million in the same quarter last year. The company reported a net loss of $11.81 million, compared to a net profit of $7.97 million in the previous year.
- Semir Fashion (Semir Clothing)
Semir Fashion announced its Q1 2023 financial report, with quarterly revenue of CNY 3.002 billion (approximately $420 million), a YoY decrease of 9.29%. The net profit attributable to the company’s shareholders was CNY 311 million (approximately $48.85 million), a YoY increase of 48.85%.
Conclusion:
As we move further into the year, the global apparel and sportswear industry continues to experience dynamic shifts in performance. While some companies are thriving and reporting significant growth, others face challenges that impact their financial results. Observing these financial reports enables us to gain valuable insights into the trends and factors shaping the future of the fashion and sportswear markets.
