Strong Orders for School Uniforms and Corporate Teamwear
Positive Performance in Sports Commercialization
Hyoungji Elite recorded the highest cumulative performance in history for the third quarter through the stabilization of its sports commercialization and workwear businesses.
Hyoungji Elite announced on the 16th that its cumulative sales on an individual basis for the 23rd fiscal year third quarter (July 1, 2023 ? March 31, 2024, for corporations with a June fiscal year-end) increased by 72% year-on-year to 95.7 billion KRW. This figure surpasses the previous fiscal year's sales of 92.9 billion KRW. The cumulative operating profit for the third quarter also reached 1.8 billion KRW, marking a 92% increase compared to the same period last year.
The core student uniform business saw increased sales due to successful bids under the school-led uniform purchase system. In addition, with an increase in corporate group uniform orders, the key businesses showed strong performance side by side. Hyoungji Elite explained that the sports commercialization business, nurtured as a new growth engine, also led the upward trend. Workwear demonstrated growth by targeting not only new B2B orders but also B2C demand through diversification of sales channels.
The sports commercialization business expanded the number of new teams and sports following the success of existing collaborative teams. The goods produced by Hyoungji Elite for the Hanwha Eagles contributed to sales growth as the acquisition of player Ryu Hyun-jin and the team's early season performance increase attracted more spectators. The supply of goods for the new season of the baseball entertainment program 'Choegang Baseball' and new sponsorship contracts with the Lotte Giants and Hanwha Life eSports team 'HLE' were also positive factors.
The company explained that this upward momentum is expected to continue. The student uniform sector is maintaining its stable leadership in the industry, and sportswear and customized uniform accessories, which incorporate know-how from sports uniform production, are receiving favorable evaluations in the market. In overseas markets such as China, the company is increasing its market share by positioning itself as a premium brand. Last month, Shanghai Elite, a joint venture in China, participated exclusively as a uniform brand in the '2024 Shanghai Fashion Week.' Workwear plans to target B2C demand as well, led by the 'Willbee' brand, which was reorganized last year.
A representative from Hyoungji Elite stated, "The sports commercialization and workwear businesses, which were nurtured as new businesses, have quickly settled on the main track, securing a stable three-pronged system along with the core student uniform business. We will not be complacent with the present but will continue rapid growth by discovering new growth engines and strengthening marketing for our main businesses."
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