Baltic States – CIS, Lithuania, Markets and Companies, Textile

During the first half year of 2015, the consolidated sales of Utenos Trikotazas Group amounted to EUR 8.5 million and were 4.8% lower compared to the same period of 2014.

In H1, Utenos Trikotazas incurred the loss from activities of EUR 393,000, whereas in 2014 the profit of EUR 59,000 was made.

During H1, Utenos Trikotazas Group incurred the loss from activities of EUR 205,000, whereas in 2014 the profit of EUR 354,000 was made.

"After the shrinkage of the Russian retail market, a lot of our partners, European distributors of clothes, completely withdrew from the market, and the remaining European customers significantly decreased the orders of fashion and special clothing for the Russian market," says Gintautas Bareika, director general of Utenos Trikotazas. "However, even in such market situation Utenos Trikotazas managed to increase sales by focusing on more expensive production with a higher added value. We are implementing a long-term strategy with the most important aspects on implementation and creation of innovations, manufacture of products with a higher added value and development of our brands. This strategy allows an earlier reaction to change in different markets and at the same time demands investments both in production capacities and in a long-term marketing".

The developed brands of Utenos Trikotazas have rapidly increased their sales during H1. The half-year sales of brands ABOUT and Utenos Trikotazas increased by almost 30% amounting to EUR 0.9 million, compared to H1 of 2014.

Reacting to the changing customer demands and the market situation, Utenos Trikotazas launched a modernisation programme, dedicated to the increase of production capacities and assortment of innovative materials.

It is expected that, after the implementation of this programme, in the second half year of 2015 the company will be able to offer materials with new digital decoration printing and materials enriched with additional functions with linen and elastane.