Deckers Brands’Q2 revenues grow by 15 per cent
Revenues of Deckers Brands, a designer and distributer of innovative footwear and apparel, increased 15.0 per cent to $623.5 million during Q2 FY21 that ended on September 30, 2020, compared to the revenue of $542.2 million in the same period last year. The company’s net income during the quarter increased to $101.5 million as against $77.8 million in Q2 FY20. Its gross profit during the quarter rose to $318.9 million while its income from operations rose to $128.6 million.
Sales of UGG brand increased by 2.5 per cent to $415.1 million while those of Hoka One One brand increased by 83.2 per cent to $143.1 million. The sales of the Teva brand grew by 20.5 per cent to $27.7 million while that of Sanuk brand slipped by 11.4 per cent to $9.5 million. The company’s wholesale sales increased 1.8 per cent to $451.6 million whereas its DTC sales grew by 74.2 per cent to $171.9 million.
Demand for spandex improves during COVID-19
Affected by the pandemic, orders for spandex in pandemic prevention materials, fabrics for sportswear and casualwear and thermawear improved in 2020. As per CCF Group, the prices of spandex gradually touched bottom in Jan-Jul, 2020. Demand for spandex surged after August and the market entered prosperity cycle. By the end of 2020, price, profit, operating rate and stocks of spandex all apparently improved compared with the beginning of 2020. Spandex price even hit 5-year new high. The following are big events of spandex industrial chain noteworthy in 2020.
Spandex companies including Huafon Chemical, Tayho and Zhongbai donated emergent pandemic prevention materials China, as the biggest mask producer in the world, took a lead in resuming production and exported massive mask and protective clothing. The Hs code of mask and protective clothing was split from March 20
The original Hs code 6307900000 was split into 6307900010 (mask) and 6307900090 (cargoes not otherwise specified made from other textile materials).
The original Hs code 6210103000 was split into 6307900010 (mask) and 6210103010 (protective clothing made from chemical fibers). As of October 20, China has provided anti-epidemic assistance to 150 countries and seven international organizations, exporting more than 179 billion pieces of masks, 1.73 billion pieces of protective clothing and 543 million testing kits.
Berlin Fashion Week to be held as per schedule
Unlike trade fairs with Premium, Neonyt and Co who plan to move Frankfurt by July next year, Berlin Fashion Week intends to hold its event as per schedule from January 18 to 24, 2021. The fashion week will be a hybrid event with digital events and face-to-face events with a highly limited number of participants.
As per Sportswear International, the new concept will focus on innovation, sustainability and digitalization. The event Fashion Open Studio/Fashion Revolution will be launched in cooperation with Mercedes-Benz Fashion Week, which will offer a platform for sustainable fashion brands. In parallel, sustainability experts will work with the organizers and international stakeholders to develop a Berlin sustainability agenda, the results of which will be presented at the Berlin Fashion Summit in January 2021.
A part of the Berlin Fashion Week, the Mercedes-Benz Fashion Week will be held digitally from January 18 to 20 – with live streams of catwalk shows as well as live digital talks. Designers for the event will include Tom Van Der Borght, Michael Sontag, Danny Reinke, Kilian Kerner and Rebekka Ruétz.
Tirupur garment exports to reach Rs 24,000 crore in 2019-20
Tirrupur Exporters Association expects the garment cluster’s exports to reach around Rs 24,000 crore in the current fiscal. As per the association, India’s total garment exports declined by 4.08 per cent to Rs 109,844 crore in FY 2019-20 compared to Rs 112,828 crore in the previous fiscal. The association’s knitwear exports fell to Rs 53,199 crore during the year against Rs 54,692 crore in 2018-19.
At the association’s annual general meeting, Raja M Shanmugham, President, said export of textiles and textile products from Tamil Nadu grew to Rs 50,192 crore in fiscal in 2019-20 out of total manufactured product exports of Rs 2,12,863 crore whereas, the total knitted garments exports from the state was worth Rs 27,780 crore.
Knitwear exports from the state decreased to Rs 27,280 crore in 2019-20 against Rs 27,650 crore recorded in 2018-19. Delhi, Haryana and Karnataka held the second, third and fourth position in knitwear exports, with figures of Rs 5,284 crore, Rs 4,227 crore and Rs ,823 crore respectively.
Solidaridad publishes Wet Processing Guidebook on AGT
A global organization committed to sustainability, Solidaridad has published a Wet ProcessingGuidebook for the Dutch Agreement on Sustainable Garments and Textile (AGT) focusing on the dyeing, printing and finishing industries
As per Sourcing Journal, established in 2016, the Dutch AGT is a five-year initiative to form better supply chain practices in the global garment sector. Its signatories include brands like C&A, Esprit and G-Star Raw as well as the Foreign Trade Association (FTA), along with other industry associations, trade unions, NGOs, and the National Government of the Netherlands.
The guidebook provides a comprehensive look at wet processing, outlining first what it is, as well as its environmental impacts, chemicals management and health and safety standards for employees. The guidebook provides a list tools and additional resources for reducing the use of resources and limiting waste every step of the way.
The guidebook comes at a time when the industry is challenged to develop supply-chain processes that use fewer resources and create less waste.
VITAS calls for large garment and textile parks to attract investors
Vietnam Textile and Apparel Association (VITAS)has urged the Government to direct provinces with suitable infrastructures to build some large garment and textile parks with an area from 500 hectare to 1,000 hectare and centralized wastewater treatment systems to attract investors into the phases of weaving and dyeing; strengthen cooperation and linkages among enterprises producing raw materials and accessories and sewing ones to establish regional chains.
As per SGG News, Vietnamese garment exporters have received many orders, especially from the US market in the fourth quarter of this year. In the last few months of this year, Fly High Garment Co has received many orders that are enough to last until the third quarter of next year. However, raw materials have increased by about 20 percent forcing the company to recalculate processing unit prices with partners.
Many other enterprises also reflected that not only have materials in the garment industry been scarce, and have the prices of raw materials increased but some symbiotic sectors, such as packaging, adhesive tapes, and chemicals, have also risen by 15-20 percent, causing production costs to climb, leading to lower profits. Revenues of some enterprises are even just enough to cover expenses and labor costs.
Up to now, Vietnam has signed free trade agreements (FTAs) with many countries around the world so it can use raw materials from the members of these FTAs. However, Vietnamese enterprises have mainly used raw materials imported from China for a long time. When orders increase again, they become passive in organizing production because they did not have a timely forecast to prepare raw materials.
To limit the negative impacts on production and business, from the outbreak of the Covid-19 pandemic, VITAS recommended and requested member enterprises to discuss with customers and focus on exploiting domestic raw materials and auxiliary materials, or from other countries to replace raw materials imported from China to maintain production and business.
Pandemic, a blessing for the company, says Lotto Sport Italia
As per QaziJamil Islam, Managing Director, Lotto Sport Italia, the ongoing pandemic has been a blessing for the company as it enjoyed increased sales in Bangladesh during the past several months following a boom in the demand for low-cost, non-leather footwear products. The global outbreak had forced Lotto Bangladesh to shut down its operations on March 23, three days ahead of a two-month nationwide lockdown aimed at curbing the spread of COVID-19, reports the Daily Star.
At the time, Lotto employed nearly 1,300 people at its local production facility and since then Islam has recruited another 700 workers at a new facility to increase production and meet the growing demand.
When the lockdown was eventually lifted on May 30, many people took up jogging and other physical activities which led to the increased demand for low-cost washable footwear, in an effort improve their immune systems," Islam told The Daily star in a recent interview.
This led to the increased demand for low-cost washable footwear, he added. Lotto, which has 100 retail outlets and about 100 franchisee shops across the country, then took this opportunity to expand its market share.
The Italian sportswear brand even started producing face masks considering the demand for such items amid the current health crisis. Islam now plans to set up another factory in Tongi, where various sportswear such as jerseys and track suits will be produced.
H&M launches new packaging system
H&M Group has launched a new multi-brand paper packaging system that’s reusable and recyclable. As per Fashion Network, the new bags are made of certified paper that can be made to be as protective of the products as plastic is. And once opened, the bags are recyclable as the company aims to cut down on the overall level of waste produced.
The company’s distribution centres in the UK, Netherlands, Sweden, China, Russia and Australia have been testing sustainable solutions for millions of packages. It is currently diving deep into digital and said the fact that e-commerce is increasing worldwide is driving large amounts of plastic waste, so there’s “an increased need to find new solutions for more sustainable packaging”.
Much of the packaging used to fulfil online deliveries is plastic-based and the majority of it ends up in landfill sites or, even worse, the oceans.
So far, the new packaging has been introduced to customers at Cos, Arket, Monki and Weekday. The H&M brand has started to implement it in selected markets, and it will be rolled out more widely at the brand in the months ahead. The &Other Stories brand will also be added to the programearly next year.
Messe Frankfurt reschedules 2021 edition of Heimtextil
Messe Frankfurt has rescheduled the 2021 edition of international home textiles expo Heimtextil to May 04-07, 2020 due to COVID-19 concerns.
Traditionally held each January, the event will take place concurrently with Techtextil and Texprocess.
Roughly 1,600 companies have expressed interest in exhibiting at the next Heimtextil, an international trade fair for home and contract textiles with more than 2,700 exhibitors and roughly 67,000 trade visitors. The trade fair serves as a business and information platform for manufacturers, retailers and designers from around the world. International exhibitors present their products to a wide trade audience on the Messe Frankfurt exhibition grounds. As the first marketing and ordering event of the year, Heimtextil showcases new home and contract textiles. By presenting bed, bath and table linens as well as floor and window coverings, upholstery and sun protection systems, Heimtextil covers the entire home and household textiles portfolio from across the globe.
Techtextil and Texprocess will also boast registration figures with over 85 and 65 percent respectively of the exhibition space already having been reserved.
Nike to capitalize on quick recovery with new expansion plans
As per reports, Nike plans to capitalize on its quick recovery to drive further investments.
The brand plans to focus on women's, apparel, digital and the Jordan brand. In apparel, the company's maternity line, which launched in September, saw a 100 per centsellthrough of tights in its first two days. The retailer also expanded its extended sizing into the kids category this quarter.
Its inventory is back to healthy levels though gross margin decreased 90 basis points to 43.1 per cent through efforts to reduce excess inventory.
Nike Digital now makes up 25 per cent of the North America business and the Nike mobile app grew 20 per cent in the quarter. The retailer has added 70 million new Nike members globally since the pandemic began and that buying member growth is outpacing new and active member growth.
The retailer also plans to open between 150 and 200 small-format stores in North America due to the strategy and is focusing its footprint on technology-driven concepts like Nike Live and Nike Rise. It is creating online to offline capabilities, like buy online, pick up in-store throughout its network.
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Burberry included in DJSI for sixth consecutive year
Burberry has been included in the 2020 Dow Jones Sustainability Index (DJSI) for the sixth consecutive year, Ranked second place overall in the ‘Textiles, Apparel & Luxury Goods’ sector, the company secured leading positions within the Product Stewardship and Social Reporting categories.
During 2019/20, Burberry reduced its market-based emissions by 86 per cent and procured 83 per cent of its total energyfrom renewable sources. Burberry is now carbon neutral across 85% of its site globally, including the Americas region, its EMEIA and China retail stores and UK operations, and aims to be 100% carbon neutral by 2022.
These goals are underpinned by two additional climate goals approved by the Science Based Target initiative (SBTi) for Burberry’s own operations and extended supply chain. The targets covering greenhouse gas emissions from Burberry’s operations (Scopes 1 and 2) are consistent with reductions required to keep warming to 1.5°C, the most ambitious goal of the Paris Agreement. To date, Burberry has reduced its Scope 1 and 2 emissions by 82 per cent (since base year 2016/17). Through engaging with suppliers on energy efficiency and renewable energy, the company has reduced emissions in its supply chain by more than 1600 tonnes of carbon. These initiatives, alongside its transition to more sustainable raw materials, are contributing to Burberry’s Scope 3 Science Based Target.
In February 2020, Burberry created the Regeneration Fund designed to support a portfolio of carbon offsetting and insetting projects to directly tackle the environmental impact of its operations. The new insetting projects will be implemented within Burberry’s own supply chain and will work to promote biodiversity, facilitate the restoration of ecosystems and support the livelihoods of local producers, as well as storing carbon at source and removing it from the atmosphere.
Brama Group partners with Paige to expand distribution
Brama Group, which specializes in the distribution of American contemporary labels, will begin to distribute the Paige brand in Europe and the Middle East starting from the fall 2021 sales campaign.
Brama Group will partner directly with the brand’s U.K. team and London-based showroom as they look to expand the men’s and women’s distribution throughout continental Europe and The Middle East. It is European distributor of apparel labels including Equipment; Current/Elliott; Frame; Mother; Norma Kamali; Boyish; 360 Cashmere; SPRWMN; Mantero 1902; Re/Done; The Great; GiadaBenincasa; Electric & Rose, and Michael Stars.
Founded in Los Angeles in 2004, Paige’s collections include denim and leather pieces, blouses, outerwear, sweaters, T-shirts and shoes, which were launched two years ago. Paige’s signature whipstitch — nine stitched bars that adorn the back pocket of every pair of jeans — represents nine lives, “a reminder to always grow, reinvent yourself and evolve for the better,” Adams-Geller said.
Paige men’s and women’s collections are available at the brand’s boutiques in Los Angeles, San Francisco, New York, Texas, Miami and Scottsdale. The label is also available in stores in more than 80 countries worldwide.
Digitization, the key to save businesses during and after pandemic
Held on December 11, the International Fashion Futurum Forum focused on the theme of ‘What is the future of independent fashion brands in post-COVID reality: cultural codes and business opportunities’. As per a Be Global Fashion Network report, the forum was attended by 74 speakers from 24 countries. It comprised 16 sessions which were viewed half a million times on all platforms.
The session tilted PR Consulting: An Invitation to Dream focused on theme of locality. Pierre Rougier, Founder, PR Consulting (USA), said if a brand stands out in the local market, it can achieve the rest by presence on social media networks. The session on ‘Sustainability: Global Practices to Save the Planet’ was inaugurated by Maeve Campbell, Deputy Editor, Euronews Living (UK) and Christina Dean, Founder and Board Chair, who defined sustainability as an ability to think about future generations’ needs ahead of one’s own greed.
Fashion-a mode of communication between cultures
At the session ‘Identity of world cultures through the eyes of the designers of the future,’ representatives of brands and fashion weeks from around the
world discussed how designers can influence the culture and fashion of the future. Linus Leonardsson, Creative Director, Linus Leonardsson (UK), observed the world has changed, and all people will are adjusting to new rules. Fashion is becoming a means of communication between people of different cultures, added Ali Charisma, National Chairman of Indonesian Fashion Chamber and Director of Muslim Fashion Festival Indonesia (Indonesia).
Won Jeon, Founder, Painters and Design Professor, Le Rêve School of Arts, South Korea spoke about the peculiarity of local fashion while Gloria Wavamunno, Founder, Kampala Fashion Week said local brands more often work with capsules for a limited number of clothing items. Anna Chernykh, CEO, Freshblood, drew attention to the inclusive trend in fashion: she spoke about the collections of launched by the students of British Higher School of Art and Design trained for people with disabilities.
An ecosystem for local designers
Opening the session, ‘The Best of two Worlds,’ Shumsky, President, Russian Fashion Council and Mercedes-Benz Fashion Week Russia shared how the online format of events allows designers to expand boundaries and make events global and international. Lucilla Booyzen, Founder of South African Fashion Week (South Africa) added, digitalization helps create an ecosystem for local designers to collaborate with other designers and learn how to work with consumers through social networks.
Guido Ampollini, Owner and Head-Performance, GA Agency, believes digitalization will be the key to save businesses during and after pandemic. Competition in the digital space will increase in the next 10 years forcing small and medium-sized businesses to find new ways to increase their conversion rates on website, choose the right influencers for their projects and cooperate with large companies.
Practicality to drive future growth of performance fabrics
The sports and outdoor industry is making a positive shift by using recycled fibers and fabrics. As per a report by Innovation in Textiles, majority of these fabrics are made from plastic waste, including single-use plastics or fishing nets collected from beaches and oceans. This not only prevents plastic waste from being dumped into the ocean and river but also requires less energy than the production of virgin polyester.
Held digitally on December 9 and 10, 2020, functional fabrics fair Performance Days focused on natural and renewable fibers. Focusing on the theme ‘Nothing to waste – closing the loop’, the event explored recycled, mono-material and biodegradable polyester and nylon fabrics.
Shift towards recycled synthetics
The Performance Forum showcased a range of recycled synthetic fabrics including a bi-colored knit fabric by Antex. Made from Seaqual, a recycled fiber
produced from plastic waste dredged up from the bottom of the sea, this fabric has helped the Spanish Mediterranean coast clean an estimated 600 ton of waste from the ocean. It has also transformed 99 ton of marine litter into up-cycled marine plastic.
Another innovation showcased at the Performance Days included Schoeller Textil AG’s 4-way stretch fabric that offers high abrasion resistance combined with elasticity and moisture management. The fabric is treated with ecorepel bio finish obtained from renewable, natural ingredients.
Winner of this season’s Performance Award, Merryson Corp’s fabrics are made from 79 per cent recycled content. Developed with the help of 3D weaving technology, these fabrics are highly durable and robust to be used in workwear or for outdoor apparel.
Collaboration for effective collection and sorting
Though fabric mills are developing mono-material functional textiles, they need to increase their collaboration with stakeholders to develop effective collection and sorting systems. An example is the BulkyStretch range launched by Evertex Fabrinology. Conceived as a 100 per cent polyester knit collection, these fabrics boast of 4-way mechanical stretch, UV protection and high breathability, while being durable and fast-drying.
Many biodegradable performance fabrics have been launched, however, only a few can be used commercially as the infrastructure for industrial scale textile composting is less developed than for recycling. Also, these fabrics face potential contamination issues caused by coloration, finishing and other treatment processes that can be overcome only by adhering to strict standards. Described as 100 per cent biodegradable, Schoeller GmbH & Co’s superfine merino and micro Tencel blend is certified by GOTS, RWS, EU Ecolabel and Bluesign. This lightweight fabric has a striking 3D honeycomb structure, which helps it to manage odor and sweat by reducing direct contact with the skin.
Another emerging innovation in this area is biodegradable nylon which was presented by Manifatture Italiane Scudieri Srl – Mectex, J&B Int’l while Brugnoli presented functional biodegradable textiles based on the Amni Soul Eco technology by Fulgar.
As seen from Pontetorto Spa’s Biopile collection, biodegradability also addresses synthetic fiber fragmentation and subsequent pollution of oceans and rivers. Made from 100 per cent polyester recycled from PET on the outside, the collection’s interior is constructed with hemp, which is certified as biodegradable in seawater.
New separation and recycling technologies
Though the industry has set a clear vision to achieve circular fabrics’ future; to close the technical and biological gaps between this vision and reality, it needs to increase the collaboration between fabric mills, brands and recycling and composting technology innovators.
As seen during the panel discussion with Infinited Fiber Company, Renewcell, Spinnova and WornAgain, the industry is set to launch many new recycling technologies and fibers. The sports and outdoor industry cannot develop and promote fabrics that cannot be recycled due to their harmful coloring and finishing processes.
The textile industry needs to develop suitable separation and recycling technologies or launch new solutions for substituting difficult elements. Designers and developers have to support textile mills in their innovations by incorporating practical solutions into their functional fabrics right at the beginning.
