Ever-Glory International Group Inc. jumped 25 percent on Wednesday after the apparel company reported a 45 percent jump in net income for last year on strong retail and wholesale growth.
The Nanjing, China apparel manufacturer, distributor and retailer, which has its U.S. headquarters in West Covina, reported full year net income of $9.65 million (65 cents a share, compared with $6.65 million (45 cents) in the same period a year earlier. The company did not break out fourth quarter results.
Net sales for the company, which focuses on middle- to high-grade casual wear, outerwear, and sportswear brands, jumped 61 percent during the year to nearly $216 million.
In addition to wholesale distribution, EverGlory operates the La Go Go retail chain in China. There were 467 LA GO GO stores in China at the end of the year, an increase of 174 from the beginning of the year. The company’s earlier goal was to open only 80 to 100 stores, which continues to be its goal for the current year.
“We are very pleased with the performance of our retail and wholesale business,” said Chief Executive Edward Yihua Kang in a conference call. “We still face a number of challenges in 2012, including price cutting by competitors, (higher) raw material prices and the uncertainty of the current global economy.”
Shares closed up 35 cents, or 25 percent, to $1.75 on the NYSE Amex.