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Driven by a surge in demand and favorable global market conditions, Kitex Garments is poised to achieve record turnover and profits in FY25, says Sabu M Jacob, Chairman and Managing Director. The company’s capacity utilisation is at its peak, with factory orders fully booked until June 2025.
In Q1 FY25, Kitex Garments’ revenues increased by 32 per cent Y-o-Y toRs 195.02 crore, compared to Rs 147.84 crore in the same period last year. This growth was a result of a strong demand from existing customers. The company’s EBITDA margin rose to 23.77 per cent during the quarter from 11.19 per cent in Q1FY24. Its net profit more than doubled, reaching Rs 29.95 crore, compared to Rs 7.99 crore in the previous year's quarter.
Kitex Group is currently developing integrated textile units in Telangana under Kitex Apparel Parks (KAPL). To be executed in two phases, the project will cost approximately Rs 2,890 crore.
Originally expected to complete a year ahead of schedule, the first phase of this project is now set to be finished by Mar’25, with spinning operations in Warangal starting by Sep’24. The second phase is projected to be completed by Mar’26.
According to ICRA, while the large-scale expansion exposes the Group to execution and demand risks, debt protection metrics are expected to remain subdued in FY25 due to ongoing debt-funded capital expenditure. However, these metrics should improve from FY26 once the first phase of operations commences. Government subsidies, once operations begin, are expected to support liquidity, though timely receipt of these subsidies remains crucial.
Circulose, the Swedish innovator behind Circulosea revolutionary material made from 100 per cent recycled textiles—has teamed up with Faherty Brand to debut a new collection featuring this eco-friendly fabric. This collaboration underscores a major advance in sustainable fashion, merging high-quality design with environmental responsibility.
Circulose, created from worn-out cotton garments and production waste, offers a sustainable alternative to traditional materials. Faherty Brand’s Fall 2024 collection will showcase Circulose in garments that blend classic style with a commitment to reducing ecological impact. The use of this material aligns with Faherty Brand’s broader sustainability goals, including support for Canopy and the adoption of Next Generation fibers.
Lisa Diegel, Director of Global Sustainability at Faherty Brand, emphasized that the Fall 2024 collection featuring Circulose underscores the company's commitment to environmental impact and circular fashion. The integration of this material represents a significant step in advancing their sustainability goals.
Anna Sammarco, Senior Director at Circulose, highlighted that the partnership with Faherty Brand to use Circulose in their collection reflects a mutual commitment to a circular fashion model. She expressed enthusiasm about scaling up this innovative material and advancing sustainable practices.
The debut collection, set for Fall 2024, marks the beginning of Faherty Brand’s use of Circulose, with plans for additional releases in Spring 2025.
Following the resounding success of its Sydney edition earlier this year, the Global Sourcing Expo is set to make a significant impact in Melbourne from November 19-21, 2024. This highly anticipated event serves as a premier platform for global companies to showcase their products, connect with top-tier buyers, and explore new business opportunities in the textile and apparel industry.
Sydney success sets the stage
The Sydney edition of the Global Sourcing Expo was a remarkable success, underscoring the event's growing importance on the global sourcing calendar. With over 500 exhibitors and more than 5,000 visitors, 97 per cent of whom were key decision-makers or influencers in their respective sectors, the event offered unparalleled opportunities for networking and business growth.
Marie Kinsella, CEO of International Expo Group Pty Ltd, expressed her satisfaction with the event, noting that the caliber of exhibitors and the quality of visitors surpassed expectations. She highlighted the overwhelmingly positive feedback received and conveyed excitement about delivering the same high level of excellence at the Melbourne Expo.
The event attracted a diverse array of participants, including decision-makers, trade buyers, leading manufacturers, brands, major retail groups, and wholesalers from sectors such as fashion, homeware, textiles, apparel, accessories, and footwear. The high level of engagement was evident, with many exhibitors noting the significant number of buyers visiting their stands.
Positive testimonials highlight Expo’s impact
Exhibitors at the Sydney event consistently praised the Expo for offering invaluable exposure to new markets and opportunities to connect with high-profile buyers. Many found the experience to be exceptional, highlighting the smooth and seamless on boarding process. The Expo facilitated numerous interactions with diverse individuals, marking their first experience exhibiting in Australia as highly successful. Exhibitors expressed enthusiasm about participating in future events, appreciating the chance to engage with a broad audience.
Visitors were also impressed, with one Australian retail buyer noting that their first experience at the Expo was highly valuable. They appreciated the opportunity to meet potential suppliers in person, view samples up close, and assess the quality firsthand.
These testimonials highlight the value of the Expo as a platform for exhibitors to promote their products, connect with new and emerging brands, and gain valuable insights into the global fashion landscape.
Melbourne Expo promises more opportunities
Building on the success of Sydney, the upcoming Melbourne edition promises to offer even more opportunities for exhibitors and visitors. The event will feature a comprehensive three-day seminar program, world-class exhibitors from over 15 countries, and a focus on the latest trends and innovations in the industry.
The Global Sourcing Expo Melbourne is one of the largest sourcing events in the region, attracting buyers from Australia, New Zealand, and beyond. Forbes has recognized it as one of the Top Ten Fashion Expos in the world, further cementing its status as a must-attend event for companies looking to expand their market reach.
Registered exhibitors include manufacturers from Australia, India, Turkiye, Hong Kong, Indonesia, China, and Bangladesh, with many more signing up daily. The Expo attracts top-tier buyers from leading retail chains, wholesalers, and distributors, providing exhibitors with the chance to connect with decision-makers actively seeking new suppliers and products.
Looking ahead to Melbourne
Marie Kinsella highlighted the Expo's unique value, noting the excitement of a physical marketplace that connects buyers and sellers. She is particularly looking forward to seeing how different countries showcase their expertise and present their pavilions. Kinsella also urged companies worldwide to take advantage of the Expo as an ideal platform to make their mark on the global stage.
As the global textile and apparel industry continues to evolve, the Global Sourcing Expo Melbourne 2024 is poised to be a pivotal event, offering participants a unique opportunity to connect, learn, and grow in an ever-changing marketplace.
China International Fashion Fair (CHIC), a leading fashion platform since 1993, continues to champion the Chinese fashion industry on the global stage. This year, CHIC Paris will feature prominently at the Who's Next event in Paris, spotlighting cultural communication and sustainable fashion under the banner ‘Fashion China’.
The exhibition will present eleven Chinese brands across 500 square metres in Hall 7.3 of Porte de Versailles. Featured brands include women's fashion labels like Lancy, Chichy, and Robinhood, alongside designer labels such as Van Sunsun, Trui Berra, and Daoxu. Accessories will also be highlighted, with brands like Keyone by Hatters hub showcasing their collections.
Lancy, established 24 years ago, offers two distinct lines: Lancy for the mature, confident woman and Lancy From 25 for the younger, style-conscious consumer. Chichy, under the Dymaxi Fashion Group, provides luxury designer fashion across over 100 stores in China. Robin Hood specializes in versatile, comfortable basics suitable for various occasions.
Van Sunsun returns to CHIC Paris, featuring luxury clothing made from natural materials like silk and cashmere, infused with oriental cultural elements. Trui Berra offers artisanal evening wear adorned with crystals, pearls, and feathers, emphasizing meticulous craftsmanship.
Typetail’s spring/summer 2025 collection draws inspiration from wildflowers, combining clear cuts with intense colors for a graceful, independent style. Doaxu breaks conventional fashion norms with casual, calm designs that emphasize comfort. Vermo, a gender-neutral brand founded in 2021, blends vintage and modern aesthetics, challenging traditional gender boundaries.
Come & Go merges Western and Eastern tailoring, creating a unique aesthetic with silk satin and brocade jacquard. Alfronce focuses on menswear with bold, colorful sportswear designs. Keyone, known for its street-style headwear, also runs China's Hat Festival and boasts a global online presence.
The Fashion China exhibition will also feature a photo display on Chinese fashion’s global influence, showcasing how Chinese designers are redefining the international fashion scene.
CHIC Paris reaffirms its commitment to internationalizing Chinese high-end fashion.
The highly anticipated CENTRESTAGE fashion event opened its doors today at the Hong Kong Convention and Exhibition Centre, bringing together a vibrant showcase of Asian fashion talent and creativity. This four-day extravaganza, running from September 4th to 7th, is set to captivate fashion enthusiasts and industry professionals alike with a diverse array of activities and events.
A Fashion Extravaganza
CENTRESTAGE boasts an impressive lineup of over 200 fashion brands from across Asia, offering a unique platform for designers to showcase their latest collections and connect with global buyers. The event is divided into four distinct zones:
• Fashion Runway: Take center stage with daily runway shows featuring established and emerging designers, showcasing their diverse styles and trends.
• Designer Gallery: Explore a curated selection of designer booths, where you can discover unique pieces and connect directly with the creators.
• Accessories Zone: Find the perfect finishing touches for your wardrobe with a wide range of accessories, from statement jewelry to stylish bags. • Fashion Forum: Gain valuable insights from industry experts and thought leaders through seminars, workshops, and panel discussions covering topics such as sustainable fashion and emerging trends.
Highlights of the CENTRESTAGE Event
In addition to the main exhibition, CENTRESTAGE has organized a series of exciting events and activities to enhance the experience for visitors:
• Fashion Talks: Engaging discussions with renowned fashion designers, stylists, and influencers who will share their insights on the industry and their creative processes.
• Fashion Demonstrations: Live fashion demonstrations showcasing the latest styling techniques and trends.
• Fashion Contests: For aspiring designers can participate in exciting fashion contests and compete for prestigious awards.
• Networking Opportunities: To connect with industry professionals, buyers, and media representatives to build valuable relationships and explore new business opportunities.
CENTRESTAGE's Impact on the Fashion Industry
CENTRESTAGE plays a crucial role in promoting the growth and development of the Asian fashion industry. By providing a platform for designers to showcase their work to a global audience, the event helps to elevate the region's fashion scene and foster international collaborations.
Hong Kong's annual fashion extravaganza, CENTRESTAGE, kicked off today at the Hong Kong Convention and Exhibition Centre (HKCEC). This year's event marks a significant milestone as it welcomes both industry buyers and the general public free of charge for all four days (September 4-7).
A Feast for Fashion Enthusiasts
Over 250 brands from 18 countries and regions are showcasing their latest collections, including prestigious labels like Robert Wun, ROKSANDA, and BLVCK PARIS. New zones dedicated to Athleisure and Circular Fashion reflect current trends in sportswear and sustainability.
A Platform for Local and International Talent
Fashion shows are a major highlight, featuring established designers and rising stars. Tonight's Fashion Hong Kong Runway Show will blend fashion and film, while the Hong Kong Young Fashion Designers' Contest (YDC) on September 7th will see the next generation compete for top honors.
Industry Insights and Interactive Experiences
Beyond the runway, CENTRESTAGE offers seminars and sharing sessions with industry leaders like British designer RoksandaIlinčić. Visitors can also try their hand at AI-powered virtual try-on experiences and redeem limited-edition fragrances and designer toy figures.
Fusing Fashion and Technology
A special fencing game in the Athleisure zone allows visitors to experience the thrill of the sport while showcasing virtual outfits. This interactive experience reflects CENTRESTAGE's commitment to innovation and technology.
CENTRESTAGE marks a must-visit event for anyone interested in fashion, design, and the future of the industry. With its free entry and diverse offerings, it promises to be an exciting experience for all.
David Buzzoni, Director-Global PR & VIP, Loro Piana, the textile and ready-to-wear label of LVMH, has been as appointed as new Director of Global Communications at Gucci.
Buzzoni will report to Alessio Vannetti, Executive Vice-President and Brand Director, Gucci. He will be responsible for the brand’s press service activities across the world andits corporate communications, ensuring a coherent message that is aligned with Gucci's values and vision.
Prior to joining Loro Piana in 2018, Buzzoni was engaged as the Global Editorial Manager at Moncler. A graduate in communication sciences from Milan's Statale University, he has also been employed at Burberry and Prada.
At Gucci, he succeeds Benjamin Cercio, who quit from the company in March 2023 after fifteen years of service at Louis Vuitton. Cercio joined Gucci at the end of 2022 as Director of Global Communications, a title that was later expanded to ‘Senior Vice-President in charge of Global Communications.’
Meanwhile, Stefano Cantino, Senior Vice President-Communications and Events, Louis Vuitton has been appointed as the new Deputy Managing Director at Gucci. He will be responsible for assisting Jean-Francois Palus, CEO, who has been running the company for a year.
In 2023, Gucci also appointed Sabato De Saron as the brand’s creative director replacing Alessandro Michele.
As the company embarks on its next phase of growth, driven by strategic investments and modernisation, KPR Mills is poised to continue playing a pivotal role in India’s textile sector while also contributing to economic growth and environmental stewardship.
Since its inception in 1984, KPR Group has evolved into a dynamic conglomerate, diversifying its operations across various sectors including Textiles, Sugar, Ethanol, Renewable Energy, Education, and Automobiles. Upholding its commitment to quality, KPR Mills has consistently embraced innovation, sustainability, and excellence, making it a key player in the Indian textile industry. As the company reflects on its performance in FY24, it also sets its sights on strategic growth and expansion, poised to elevate its standing in the industry.
KPR Mills has built a solid foundation, underpinned by strong organisational structure, people competencies, and robust systems and processes. The company’s unique culture, focusing on honesty, integrity, and hard work, continues to drive its sustained growth even during challenging times.
Recognising the significance of continuous innovation, KPR is undertaking significant expansion initiatives. The company has established an exclusive vortex spinning mill at Sathya mangalam with an investment of Rs 100 crore to capitalise on the growing demand for high-quality yarn. This state-of-the-art facility is designed to produce yarn at greater speed, with low maintenance costs and fully automated processing, enhancing the company’s competitive edge.
As a commitment to sustainability, KPR Mills has further expanded its renewable energy portfolio by investing Rs 100 crore in a rooftop solar power plant. This investment has enhanced the company’s solar power capacity to 37 MW, reinforcing its leadership in green energy and reducing its carbon footprint.
To further improve quality and productivity, KPR Mills has modernised its spinning division with an outlay of Rs 150 crore. This initiative is expected to enhance operational efficiency, ensuring that the company remains at the forefront of the textile industry.
Valued at $618 million in 2023, the luxury pre-owned market in India is projected to grow at a CAGR of 10 per cent to reach approximately $1,556 million by 2032. This substantial growth underscores the rising demand for pre-owned luxury goods across categories such as jewelry, fashion, art, etc according to Almona Bhatia, Chief Business Development Officer, Tata CLiQ & Tata CLiQ Luxury.
Several factors contribute to the rise of the luxury pre-owned market. A growing awareness of sustainability is prompting consumers to embrace circular fashion, with pre-owned luxury items offering a way to reduce environmental impact while still enjoying high-end products. Pre-owned luxury goods also appeal due to their unique charm, often providing access to rare, discontinued, or vintage pieces that are no longer available in the primary market.
India’s luxury pre-owned market is primarily driven by affluent households with annual incomes exceeding Rs 20 lakh. Categorised as Elite and Elite Plus, these households are prevalent in metro, Tier I, and Tier II/III cities, with the top 20 cities accounting for about 60 per cent of such households. The growing number of affluent consumers is a key factor in the market’s expansion with their numbers expected to rise from 60 million in 2023 to 100 million by 2027.
Gen Z consumers are also playing a significant role in this growth. Known for their digital savviness and strong commitment to sustainability and ethical consumption, Gen Z shoppers are increasingly turning to the luxury pre-owned market to find unique, high-quality items that align with their values. The COVID-19 pandemic has accelerated the shift to online shopping, further boosting the luxury pre-owned market.
However, the market continues to face certain challenges, particularly around building consumer trust. Concerns about authenticity, quality, and transparency can deter potential buyers from purchasing pre-owned items. To address these issues, platforms like Tata CLiQ Luxury are implementing stringent quality checks, certification processes, and providing detailed product information to reassure consumers.
Another challenge is changing consumer perceptions, especially in a culture where newness is often associated with prestige. However, with more consumers recognising the environmental and economic benefits of pre-owned luxury, consumers’ attitudes are gradually shifting.
The luxury pre-owned market in India is poised for significant growth, driven by increasing affluence, a rising Gen Z consumer base, and a growing emphasis on sustainability. As platforms like Tata CLiQ Luxury continue to expand their offerings and build consumer trust, the market is expected to thrive in the coming years, adds Bhatia.
In a surprising turn of events, online secondhand fashion giant ThredUp has announced its decision to exit the European market. This comes as a shock to many, considering the rising popularity of sustainable fashion and the thriving secondhand market in Europe. The question on everyone's minds is: Why?
ThredUp's CEO James Reinhart attributed the exit to several factors, primarily the company's inability to achieve profitability in Europe. The European operations have consistently struggled, even with substantial investment and support from the US team. Q2 2024 saw an 18 per cent drop in European revenue, coupled with a negative adjusted EBITDA margin, signalling a challenging business environment.
Is Europe not ready for a secondhand platform?
The short answer is no. The secondhand clothing market in Europe is booming. Consumers are increasingly embracing sustainable fashion choices and seeking affordable alternatives to fast fashion. However, the market dynamics in Europe differ significantly from those in the US, posing unique challenges for ThredUp.
Some of the major challenges include:
Strong competition: Europe has a robust network of local secondhand stores and online platforms. ThredUp faced intense competition from established players, making it difficult to gain a significant market share. Also while the US has embraced secondhand shopping as a trendy and sustainable option, European consumers have been slower to adopt this mindset. Thrifting is often still associated with necessity rather than choice.
Cultural differences: Europeans have distinct shopping habits and preferences. ThredUp's US-centric model might not have fully resonated with the European audience.
Logistics and infrastructure: The fragmented nature of the European market, with its diverse languages and regulations, posed logistical challenges for ThredUp which they may have underestimated.
Table: Comparison of secondhand clothing markets US vs Europe
|
Market |
Market Size (2023) |
CAGR (2023-2028) |
Projected market size (2028) |
Key growth drivers |
Challenges |
|
US |
$30 billion |
12.50% |
$51 billion |
Sustainability concerns, growing acceptance of secondhand, strong online presence |
Price sensitivity, competition from fast fashion |
|
Europe |
$25 billion |
10% |
$40 billion |
Increasing environmental awareness, rising disposable incomes, growth of online resale platforms |
Cultural barriers, logistical complexities, fragmented market |
As the table shows, the European secondhand market is substantial and growing at a healthy pace. The increasing focus on sustainability, coupled with the convenience of online platforms, is driving this growth. However, cultural barriers and logistical complexities remain challenges that businesses need to address.
Key takeaways
• ThredUp's exit highlights the complexities of expanding a successful US-based business model into the European market.
• Despite the setback, the secondhand clothing market in Europe remains promising, driven by increasing consumer awareness about sustainability and the desire for affordable fashion.
• Local players with a deeper understanding of the European market and its unique challenges are likely to thrive.
While ThredUp's departure is a setback, it's not the end of the road for secondhand fashion in Europe. The market is ripe with opportunities for innovative platforms that can adapt to local preferences and navigate the unique challenges. As consumers continue to prioritize sustainability and affordability, the secondhand clothing market in Europe is poised for significant growth in the coming years.
