Inventory challenges hurt Stella International in Q1
Footwear group Stella International shipped 9.6 million pairs of shoes in the first quarter of 2023. This represents a fall in volume of more than 30% year on year.
In terms of value, its first-quarter sales this year brought in $277.4 million, a fall of 25.9% compared to the same period in 2022.
The only positive in the Stella numbers is that average sales price of its shoes in the first quarter of this year was $28.80, compared to $26.80 a year ago.
Chief executive, Chi Lo-Jen, said: “We expected our order book in the first half of the year to be impacted as some of our major customers deal with inventory challenges. That said, the removal of covid-19 restrictions in China from late 2022 may lead customers to increase their ordering activity in the second half of the year.”
