Blum Orient Co., Ltd. (hereinafter referred to as "Blum Orient"), a leading global yarn spinning enterprise, disclosed its 2021 annual report today (April 26) evening, during the reporting period, the company achieved operating income of 7.774 billion yuan, an increase of 26.73% over the same period of the previous year; achieved a net profit attributable to the parent company of 1.371 billion yuan, an increase of 274.47% year-on-year.
For the reasons for the change in performance, Blum Orient explained that during the reporting period, the spread of the epidemic and the epidemic control measures in various countries and regions still have a greater impact on the global political economy and other aspects, the company actively grasped the opportunity of overseas orders to return, using the company's own production capacity layout advantages, close to the market, strengthen services, actively respond to customer needs, and with perfect, stable, punctual and reliable supply capacity by more high-end brands recognized, so as to obtain more market order share, The advantages of mutual promotion of domestic and international dual cycles have been built, and after the global pandemic, it has ushered in high performance growth.
During the reporting period, Blum Oriental continued to strengthen the service follow-up of key customers in sales, especially during the epidemic in Southeast Asia, the company actively allocated resources from all parties, tapped production potential, and ensured that the production capacity was as fully loaded as possible to ensure on-time supply, which was affirmed by customers and led to an increasing number of orders.
In addition, Blum Oriental has continued to increase the production capacity of its factories in Vietnam to adapt to the trend of the textile and garment industry gradually moving outward. It is understood that in August 2021, due to the rapid spread of the epidemic in Vietnam, in order to control the epidemic, Vietnam implemented social distancing measures, in order to cooperate with the local epidemic prevention and control requirements in Vietnam, Blum Vietnam implemented the "three in-place" policy, due to restrictions on the flow of personnel, resulting in the lowest production capacity of Blum in Vietnam to about 32%. In this situation, the company's board of directors has taken the initiative to ensure the health of all employees in Vietnam as the primary prerequisite, and mobilize all domestic forces to support the Vietnamese factory, and in the case of the gradual improvement of the epidemic situation, orderly resumption of production to ensure product delivery. During the reporting period, Blum Vietnam achieved operating income of 4.283 billion yuan, an increase of 16.42% over the same period of the previous year, and achieved a net profit of 939 million yuan, an increase of 310.04% over the same period of the previous year.
By the end of the reporting period, Blum Vietnam had completed and put into operation 1.1 million spindle production capacity, accounting for more than 60% of the company's total production capacity. In the future, Blum Orient can make more reasonable use of domestic and foreign resources to provide more high-quality and inexpensive color spinning products for domestic and foreign customers, which is conducive to further enhancing the company's profitability and will also enhance the company's international competitiveness as a whole.
Blum Oriental said that in 2022, the company will continue to innovate R & D investment, maintain the innovation leading edge in the industry, continue to strengthen the company's internal management, continue to increase the intensity of technological transformation and upgrading, improve quality and efficiency, secondly, the company will continue to adjust and enrich the product structure, actively follow up customer and market demand, further expand the use of yarn, the company will also choose the opportunity to complete the non-public issuance of A-share shares, step up the completion of the Vietnam Blum fundraising project construction and achieve partial production, as soon as possible to make Vietnam Blum play a scale benefit.
As of the publication of the first textile network this evening, Blum Oriental closed at 5.51 yuan / share, down 5.97%, with a market value of 8.265 billion yuan. (First Textile Network Martin)