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Pacific Textiles Reports Decline in Revenue and Profit

Pacific Textiles Reports Decline in Revenue and Profit

Pacific Textiles Holdings ( (PTEXF) ) has released its Q2 earnings. Here is a breakdown of the information Pacific Textiles Holdings presented to its investors.

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Pacific Textiles Holdings Limited, a company engaged in the manufacturing and trading of high-quality cotton and synthetic knitted fabrics, operates primarily in the textile industry with production facilities in Hong Kong, Macau, the PRC, and Vietnam.

In its latest earnings report for the six months ended September 30, 2025, Pacific Textiles Holdings reported a decrease in revenue and profit compared to the same period in 2024. The company’s revenue fell by 6.7% to HK$2,524.5 million, while profit attributable to equity holders dropped by 25.8% to HK$79.3 million.

Key financial metrics revealed a decline in gross profit margin from 8.8% to 8.3% and a reduction in net profit margin from 3.9% to 3.1%. The company attributed the downturn to a decrease in sales orders, particularly due to increased U.S. import tariffs on goods from Vietnam, and higher fixed costs due to lower production facility utilization. Despite these challenges, finance costs decreased by 19.9% due to lower interest rates.

Looking forward, Pacific Textiles Holdings is optimistic about the recovery of sales orders, especially with the reduction of U.S. tariffs on Vietnamese goods. The company plans to continue optimizing its product mix and expanding its production capacity in Vietnam to enhance profitability. Management remains focused on cost control and operational improvements to drive stronger financial performance in the future.

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