Workers working in a yarn factory - Photo: HONG PHUC
The business results of some enterprises in the Vietnamese textile and garment industry are showing positive signs in the first quarter of 2025, with a positive situation, even growth beyond expectations.
The US market continues to be an important contributor.
According to the recently announced financial report for the first quarter of 2025, Century Fiber Joint Stock Company (HoSE: STK) recorded revenue in the first quarter of the year reaching more than 376 billion VND, an increase of more than 41% over the same period due to increased sales.
In addition, thanks to higher sales and selling prices than the same period last year, gross profit increased sharply and gross profit margin reached nearly 21%, contributing to the after-tax profit soaring to VND 35.6 billion, equivalent to an increase of more than 4,900% compared to the first quarter of 2024.
Ms. Nguyen Phuong Chi - strategic director of Century Fiber - said that in the first 90 days of the year, the company had 13 new customers.
As a yarn manufacturing enterprise, Century Fiber operates under the B2B model, supplying manufacturers in the textile and garment industry and is also a partner of fashion brands such as Nike, Adidas, Fast Retailing (Uniqlo)... Nearly 72% of this company's revenue comes from the domestic market and on-site exports.
Not only Century Fiber, many other textile and garment enterprises also reported positive business results.
At the 2025 Annual General Meeting of Shareholders, Mr. Song Jae Ho - General Director of Thanh Cong Textile Investment and Trade Company - said that revenue and profit in the first quarter of this year are estimated to increase by 8% and 25%, respectively. The US market continues to be important, accounting for about 30% of export revenue.
Meanwhile, the Japanese and Korean markets are still growing, while the European market is still facing many difficulties, forcing the company to make efforts to expand its customer base.
TNG Investment and Trading Joint Stock Company, a product supplier for Decathlon, Columbia... also recorded positive results in the first quarter of the year, with net revenue increasing by more than 11% and net profit increasing slightly.
Some criteria for selecting suppliers according to a survey by the US Fashion Industry Association - Source: STK
In the first three months of 2025, the US continued to be Vietnam's largest textile and garment export market with a turnover of 3.8 billion USD, up more than 15% over the same period. Businesses in the industry are making efforts to diversify their markets, helping exports to Japan and the EU both grow by double digits, 12% and 13.5%, respectively.
On the other hand, exports to South Korea remained at 800 million USD, unchanged compared to the same period last year.
Products with few substitutes
Regarding the reciprocal tax policy from the US government, a representative of Century Fiber said that Vietnamese textile products made from synthetic fibers are less likely to be replaced in the US market because they hold a large market share, have the ability to produce diverse products and quickly respond to orders thanks to a developed supply chain.
In addition to the US, businesses are also actively expanding into markets such as the EU, Canada, Australia and the Middle East, to minimize risks from policy changes in some countries.
According to data from the Office of Textile and Apparel Exporters of America (OTEXA), Vietnam is now the second largest textile exporter to the US market, after China, for both synthetic and cotton textile products. This opens up opportunities to attract more orders, especially in the context of Chinese goods being subject to higher tariffs.
Ms. Nguyen Phuong Chi said that in the US market, although Vietnam's export volume market share (17-19%) is much smaller than China's (43-46%), but if we consider the export value market share, Vietnam is not inferior. That shows that Vietnamese textiles and garments have an important competitive advantage in the current context, which is higher value per unit of goods.
Source: https://tuoitre.vn/det-may-van-xuat-khau-tot-mot-doanh-nghiep-bao-lai-tang-gan-50-lan-20250425153214376.htm
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