Crystal International Group Limited Overview
Crystal International is one of the world's largest contract apparel manufacturers. Euromonitor ranked it the largest apparel maker by production volume in 2016, as cited at IPO [S9]. It is a family-controlled, Hong Kong-headquartered original-equipment manufacturer (OEM) that produces garments for global brands, not for its own labels. Its five product verticals are Lifestyle wear, Sportswear & outdoor, Denim, Intimate and Sweater. They are produced across roughly 20 self-operated facilities in Vietnam, mainland China, Cambodia, Bangladesh and Sri Lanka, and the company is now integrating upstream into fabric.
The model is volume-driven and cost-plus. Brand customers generally bear fabric and freight costs, so earnings are tied to processing value-add rather than raw-material prices [S5]. One anchor customer ("Customer A") contributes about 37% of revenue [S1].
Crystal pairs mid-single-digit-to-low-double-digit revenue growth with gross margins near 20%, net margins of about 8.5%, a net-cash balance sheet and a ~60% payout ratio. Its next leg is an integrated textile and garment complex in Egypt, which diversifies the footprint and hedges tariff risk.
What the company does. Crystal manufactures and trades garments. The FY2025 accounts state that the group is principally engaged in garment manufacturing and trading, with all revenue recognised at a point in time when goods arrive at the customer-specified delivery location [S1]. Every dollar of reported revenue is therefore product revenue. There is no disclosed service, subscription or licensing revenue.
Company's own description (paraphrased). Crystal describes itself as a global apparel-manufacturing leader and sustainability pioneer, founded in 1970 and headquartered in Hong Kong [S17]. It has a diversified portfolio across five categories: lifestyle wear, sportswear & outdoor, denim, intimate and sweater. It says it holds leading positions in each category and is expanding upstream into fabric production. It runs a multinational manufacturing platform with garment factories and fabric mills in five countries [S17].
The company calls its model a "co-creation business model." Under it, Crystal works with brand customers on product development so they can respond quickly to consumer demand for differentiation and value [S1].
Independent characterisation. Crystal is a scaled, multi-category Tier-1 apparel OEM sitting in the "cut-make-trim plus development" layer of the value chain. Its position runs as follows:
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Upstream: it depends on fabric supply. Its own mills, acquired in 2021–2022 and being built in Vietnam and Egypt, are designed to internalise part of that supply.
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Downstream: it sells free-on-board (FOB) to brand owners and retailers, who take on logistics and retail risk.
Three economic features stand out:
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Pass-through cost structure. Fabric costs are generally borne by brand customers and freight is largely arranged by them. Margin volatility therefore comes mainly from labour productivity, utilisation and mix, not from commodities. Management stated this explicitly in 1H2026 [S5].
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Labour intensity. Staff costs were 24.9% of revenue in FY2025 and 28.4% in 1H2026 [S1][S5]. Output scales with headcount and productivity. Management states that, in a labour-intensive industry, output tracks workforce size [S2].
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Customer concentration with "share-of-wallet" growth. Growth comes mainly from deeper penetration of a few global brands across categories, not from a long tail of customers.
Customer types and end-markets. Customers are global apparel brands and specialty retailers: fast fashion and casual, sportswear and outdoor, intimate apparel, and denim.
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Customers publicly associated with Crystal include Fast Retailing (Uniqlo), Gap, H&M and L Brands/Victoria's Secret, per IPO-era reporting [S9]. Earlier press also mentioned Marks & Spencer and J.C. Penney [S16], and 2026 Egyptian press mentioned Levi's [S8].
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Fast Retailing and L Brands were IPO cornerstone investors, at US$20m and US$10m respectively [S9].
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The company does not name "Customer A" in its filings. Market reporting commonly associates the largest customer with Fast Retailing; this is an analyst inference and is not confirmed by the company.
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Sportswear brand customers are referred to only generically, including "a recently added internationally renowned sportswear brand" in 2022 [S4].
End-markets by port of discharge in FY2025: Asia Pacific (mainly Japan, the PRC and South Korea) 40.1%; North America 37.4%; Europe 19.4%; other 3.1% [S1].
Strategy
Stated strategic themes (from FY2024–FY2025 annual results and 1H2026 MD&A, paraphrased with short key phrases).
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"Co-creation business model" and deeper penetration of key brands. Crystal aims to grow alongside a concentrated set of global brands by entering new categories with them. In 2025 the focus categories were sportswear, lifestyle wear and intimate [S1][S2].
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Capacity expansion and workforce productivity. The group hired about 10,000 people in 2024 [S2], launched Vietnam satellite factories in late 2025 to broaden labour pools [S1], and added 6,000 hires in 1H2026 [S5]. Vietnam expansion was moderated in 2026 to prioritise upskilling of unskilled workers [S1].
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Automation. Automation upgrades took roughly two-thirds of FY2025 capex, together with garment capacity. They are credited with offsetting tariff-related pricing pressure [S1].
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Vertical integration into fabric. Milestones: mill acquisitions (Vietnam 2021, Bangladesh 2022); fabric certifications by brand customers (synthetics 2023, cotton in progress); the Vietnam self-built mill (start by end-2026); and the Egypt spinning/weaving/dyeing complex [S1][S3][S4][S8].
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Geographic diversification (Egypt). The aim is to disperse geopolitical risk, offer flexible production and respond to trade-policy change [S1][S8]. Egypt offers proximity to Europe and favourable trade policies [S1].
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Shareholder returns. The payout ratio rose from 31% (FY2021) to 60% (interim FY2025 and 1H2026). Management is committed to stable and rising dividends in line with earnings, alongside growth investment [S5].
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Sustainability (CSV2030 / Net Zero 2050).
Strategic initiatives register (last 24 months, Oct 2024–Oct 2026).
Medium-term targets and guidance. Crystal does not publish multi-year numeric targets. Qualitative guidance to date:
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FY2025: net profit growth should outpace revenue growth (achieved: +12.0% vs +6.9%) [S1][S2].
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FY2026: capex "significantly higher" than FY2025 and at a historically high level, owing largely to Egypt [S1][S5].
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2H2026: YoY growth to exceed 1H2026's +5.4% [S5].
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Dividends: stable, with increases over time in line with earnings [S5].
Products & Services
Crystal does not sell branded products, publish price lists or disclose SKU-level data. Every product line below is manufactured for brand customers. "Launch year" refers to when Crystal entered the category, where disclosed.
Volume indicators. At IPO Crystal delivered about 350 million pieces a year from about 20 facilities (approximately 1.3m m² gross floor area) in five countries [S9]. A later company profile, undated but citing about 80,000 staff, states over 470 million pieces a year [S28]. The current annual piece volume is not disclosed in the FY2025 filings.
Product Portfolio
| Segment | Product line / offering | Description and capabilities | Target customer | Entry / latest disclosed development | Flagship / notes | Source |
|---|---|---|---|---|---|---|
Sweater | Classic knit sweaters | Flat-knit and fully-fashioned pullovers and cardigans; the company's founding product | Casual and fast-fashion brands | 1970 (founding) | The heritage category | [S16] |
Sweater | Performance sweaters | Knitwear engineered for sports use | Sportswear brands | 2023 (disclosed expansion); "promising" margins noted FY2024 | A key driver of the record Sweater result in FY2023 | [S2][S3] |
Sweater | Knitted bottoms (skirts, pants) | Extension of knit capability from tops to bottoms | Women's-wear and casual brands | 2,023 | Diversification of the Sweater segment | [S3] |
Sweater | Technical knit support (Masterknit Ltd) | Knit technical/engineering capability from the Masterknit acquisition | Internal / brand customers | Referenced FY2022 | Credited with lifting FY2022 Sweater margins | [S4] |
Lifestyle wear | Knit tops (T-shirts, polos, casual knits) | High-volume cut-and-sew knits; printing-technology expertise highlighted | Global casual and fast-fashion brands | c.1976 lifestyle-wear entry | "Printing technology" and "women's wear" named as advantages | [S3][S25] |
Lifestyle wear | Woven casual bottoms (chinos, cargo pants) | Non-denim pants that benefited from post-COVID return-to-office demand | Casual brands | Disclosed 2022–2023 | Substitution beneficiary versus denim | [S4] |
Lifestyle wear | Fabric-integrated lifestyle garments | Garments made with fabric from Crystal's own mills | Key brand customers | Synthetic fabrics certified 2023; cotton-based fabrics in certification 2023–24 | Vietnam self-built mill targeted to start by end-2026 | [S1][S3] |
Sportswear & outdoor | Performance/athleisure apparel | Training, running and lifestyle-sport garments | Global sportswear brands | Accelerated after Vista (pre-2017); revenue +30.5% in FY2022 | A "recently added internationally renowned sportswear brand" (2022) | [S4] |
Sportswear & outdoor | Outdoor apparel | Outdoor jackets and technical layers | Outdoor brands | Pre-IPO (Vista) | Combined into one segment | [S25] |
Sportswear & outdoor | Vertically integrated sportswear | Fabric-plus-garment programmes with sports brands | Strategic sportswear partners | Initiated 2023 | Strategic-partnership model | [S3] |
Denim | Jeans and denim garments | Denim cutting, sewing and washing/finishing | Global denim and casual brands | Long-standing (date not disclosed) | ~20% of revenue in FY2025 | [S1] |
Denim | "Net-Zero jeans" | Low-carbon denim | Sustainability-led brands | 2022 recognition | Cited by HKQAA when naming Crystal a Pioneering Organisation in Net-Zero Contribution | [S4] |
Intimate | Bras, underwear, loungewear, sleepwear | Intimate and lingerie manufacturing | Lingerie/intimate brands (e.g., L Brands/Victoria's Secret, historically) | Long-standing | FY2025 revenue US$466m | [S1][S9] |
Upstream | Fabric (knit and woven) | Mills: Vietnam (acquired 2021), Bangladesh (HAY, 2022), Vietnam (self-built, end-2026 target), Egypt (planned spinning/weaving/dyeing) | Internal supply to garment factories; brand-certified fabrics | 2021 onward | About 34% of FY2025 capex (US$183m × ~34%) went to upstream fabric | [S1][S4][S8] |
Service layer | "Co-creation" product development | Joint development of new styles and categories with brands; fast replenishment | All brand customers | Core model | Not separately priced | [S1][S2] |
Financial Narrative
Income statement
Sources: [S1][S2][S3][S4]. Diluted EPS equals basic EPS because no dilutive instruments exist. FY2024 DPS includes the HK5.5-cent special dividend. FY2023 administrative expenses and other income are shown as restated [S2].
Margins (%)
Compound growth (derived).
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Revenue CAGR FY2021–FY2025: ≈3.1% (US$2,341m to US$2,641m).
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Attributable net profit CAGR: ≈8.3% (US$163.1m to US$224.7m).
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EBITDA CAGR: ≈6.6%.
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From the cyclical trough (FY2023 to FY2025), revenue grew ≈10.1% per year and net profit ≈17.2% per year.
Half-year revenue and net profit progression (USD millions) (H2 derived as full year minus H1)
Sources: [S22][S21][S6][S5] plus annual figures.
Income-statement commentary.
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Cycle. FY2022 was the post-pandemic restocking peak (US$2.49bn). FY2023 was a brand-inventory destocking trough: revenue fell 12.6%, and management cited US apparel import values down 24% [S3]. FY2024 brought a rebound (+13.4%) on restocking and chase orders. FY2025 grew 6.9% despite US reciprocal tariffs [S1].
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Operating leverage and cost discipline. Gross margin rose every year from FY2022 (18.6%) to FY2025 (19.9%), helped by automation, factory re-layouts and mix. Administrative + R&D − other income fell from 9.6% of revenue in FY2021 to 7.4% in FY2024–25 [S1][S2][S4]. EBIT margin therefore expanded by 250bp over four years.
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Inflection in 2H2025. Second-half FY2025 revenue grew only ≈2.6% YoY (US$1,412m vs US$1,376m), even though net profit grew ≈8%. The likely causes are tariff-window distortions and Vietnam labour competition, which the company said constrained growth [S1]. Growth resumed at +5.4% in 1H2026, and management expects H2 2026 growth to exceed H1 [S5].
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Tax creep. The effective tax rate rose from ~15% to ~19%, reflecting a higher Hong Kong profits tax charge and the first Pillar Two top-up tax of US$1.7m in FY2025 [S1].
Balance sheet
Sources: [S1][S2][S3][S4]. FY2021 company-defined net cash is derived as cash minus bank borrowings. The company reports a nil gearing ratio in every year.
30 June 2026 snapshot [S5]: total assets US$2,402.1m; cash US$444.4m plus short-term deposits US$12.3m; bank borrowings US$17.8m; net cash US$439m; inventories US$414.9m (up 29% vs Dec 2025); dividend payable US$89.1m; total equity US$1,640.4m.
Cash flow
Notes:
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Operating cash flow and capex are as stated in each year's MD&A [S1][S2][S3][S4].
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FY2022 acquisition spend is the HAY (US$37.0m) and Successor (US$20.7m) considerations [S4].
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FY2021 acquisition spend is derived from total capital investment of US$132m less capex of US$90m [S4]; it is indicative only.
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No buybacks occurred in any year [S1][S2][S3][S4].
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1H2026: operating cash flow US$162m; capex US$112m, including the US$30.4m Egypt land payment [S5].
Cash-flow commentary. FY2024 operating cash flow collapsed to US$106m. This was a deliberate working-capital choice: the group reduced factoring for low-risk customers, which cut finance costs but lifted receivable days from 41 to 52 [S2]. FY2025 recovered to US$266m. The cumulative five-year free cash flow (≈US$616m) roughly matches cumulative dividends (≈US$414m) plus acquisitions (≈US$100m) and debt reduction (≈US$168m).
Capex is guided to a "historically high" level in FY2026 because of Egypt [S1][S5]. FY2026 free cash flow is therefore likely to be thin or negative, despite strong operating cash flow.
Ratios
Notes:
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ROIC = EBIT × (1 − effective tax rate) ÷ (total equity + total debt incl. leases − cash and deposits). It is somewhat flattered by interest income included in EBIT.
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Cash conversion cycle and turnover days are company-reported [S1][S2][S3][S4]. In 1H2026 the cash conversion cycle was 81 days and inventory days were 65 [S5].
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Payout ratios for FY2021–FY2023 are company-stated [S3][S4]. FY2024 (including the special dividend) and FY2025 are derived at HK$7.80/US$. FY2024 excluding the special dividend ≈60%.
Ratio commentary. Returns have improved structurally. ROE moved from 11–13% to 14%, and ROIC has held around 18–19% since FY2023, despite a rising cash pile that drags on ROE. The balance sheet is effectively unlevered, with no bank debt at FY2025 year-end and US$18m at mid-2026.
The cash conversion cycle has lengthened from 56 days (FY2021) to 81 days (FY2025–1H2026). Less factoring explains much of this. However, 1H2026 inventory days of 65 (versus 52) and a higher inventory write-down (US$7.4m versus US$1.2m) [S5] are a monitorable. They may reflect pre-positioning for the expected stronger H2, but they also raise working-capital and markdown risk.
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Revenue by Segment
| Segment | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Lifestyle wear revenue (USD Mn) | 735.0 | 697.5 | 607.6 | 694.2 | 743.9 |
Sportswear & outdoor revenue (USD Mn) | 426.6 | 556.5 | 477.5 | 554.6 | 599.0 |
Denim revenue (USD Mn) | 571.0 | 567.7 | 473.2 | 518.9 | 540.0 |
Intimate revenue (USD Mn) | 427.9 | 470.9 | 396.4 | 434.8 | 466.3 |
Sweater revenue (USD Mn) | 181.0 | 198.3 | 222.7 | 267.1 | 292.1 |
Total revenue (USD Mn) | 2,341.4 | 2,491.0 | 2,177.3 | 2,469.6 | 2,641.2 |
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View Subscription PlansResults by Segment
| Segment | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Lifestyle wear segment profit (USD Mn) | 146.7 | 139.6 | 117.0 | 134.6 | 151.4 |
Sportswear & outdoor segment profit (USD Mn) | 76.6 | 101.8 | 96.2 | 114.5 | 125.2 |
Denim segment profit (USD Mn) | 104.4 | 92.3 | 76.0 | 85.0 | 90.3 |
Intimate segment profit (USD Mn) | 83.9 | 87.3 | 81.3 | 90.5 | 94.4 |
Sweater segment profit (USD Mn) | 36.0 | 42.4 | 47.3 | 61.6 | 64.4 |
Total segment profit (USD Mn) | 447.6 | 463.4 | 417.8 | 486.2 | 525.7 |
Revenue by Segment (%)
| Segment | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Lifestyle wear GM (%) | 20.0 | 20.0 | 19.3 | 19.4 | 20.4 |
Sportswear & outdoor GM (%) | 18.0 | 18.3 | 20.1 | 20.6 | 20.9 |
Denim GM (%) | 18.3 | 16.3 | 16.1 | 16.4 | 16.7 |
Intimate GM (%) | 19.6 | 18.5 | 20.5 | 20.8 | 20.2 |
Sweater GM (%) | 19.9 | 21.4 | 21.2 | 23.1 | 22.0 |
Group GM (%) | 19.1 | 18.6 | 19.2 | 19.7 | 19.9 |
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View Subscription PlansSegment Margins & Growth (%)
| Segment | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|
Lifestyle wear growth (%) | -5.1 | -12.9 | 14.3 | 7.2 |
Sportswear & outdoor growth (%) | 30.5 | -14.2 | 16.1 | 8.0 |
Denim growth (%) | -0.6 | -16.6 | 9.7 | 4.1 |
Intimate growth (%) | 10.0 | -15.8 | 9.7 | 7.2 |
Sweater growth (%) | 9.6 | 12.3 | 19.9 | 9.4 |
Group growth (%) | 6.4 | -12.6 | 13.4 | 6.9 |
Revenue by Segment (%) — Lifestyle wear share
| Segment | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Lifestyle wear share (%) | 31.4 | 28.0 | 27.9 | 28.1 | 28.2 |
Sportswear & outdoor share (%) | 18.2 | 22.3 | 21.9 | 22.5 | 22.7 |
Denim share (%) | 24.4 | 22.8 | 21.7 | 21.0 | 20.4 |
Intimate share (%) | 18.3 | 18.9 | 18.2 | 17.6 | 17.7 |
Sweater share (%) | 7.7 | 8.0 | 10.3 | 10.8 | 11.0 |
Segment Revenue
| Segment | 1H2025 revenue | 1H2026 revenue | YoY (%) | 1H2025 GM (%) | 1H2026 GM (%) |
|---|---|---|---|---|---|
Lifestyle wear | 339.7 | 380.7 | 12.1 | 20.5 | 20.1 |
Sportswear & outdoor | 312.9 | 338.6 | 8.2 | 20.7 | 20.5 |
Denim | 262.2 | 239.5 | -8.7 | 16.4 | 16.8 |
Intimate | 209.8 | 227.8 | 8.6 | 20.8 | 20.8 |
Sweater | 104.9 | 109.3 | 4.2 | 20.4 | 20.6 |
Total | 1,229.5 | 1,295.9 | 5.4 | 19.7 | 19.8 |
Income Statement and Per-Share Data
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Revenue (USD Mn) | 2,341.4 | 2,491.0 | 2,177.3 | 2,469.6 | 2,641.2 |
Cost of sales (USD Mn) | 1,893.8 | 2,027.6 | 1,759.5 | 1,983.4 | 2,115.5 |
Gross profit (USD Mn) | 447.6 | 463.4 | 417.8 | 486.2 | 525.7 |
Other income gains or losses (USD Mn) | 15.7 | 21.6 | 21.4 | 30.4 | 21.6 |
Selling and distribution expenses (USD Mn) | 24.0 | 26.9 | 26.9 | 39.2 | 43.8 |
Administrative expenses (USD Mn) | 208.8 | 202.3 | 174.4 | 181.4 | 183.5 |
R&D expenses (USD Mn) | 31.1 | 34.4 | 32.4 | 32.4 | 34.6 |
EBIT derived (USD Mn) | 198.7 | 223.1 | 207.5 | 260.3 | 290.1 |
Depreciation and amortisation (USD Mn) | 92.9 | 92.5 | 84.4 | 84.4 | 86.2 |
EBITDA derived (USD Mn) | 291.6 | 315.6 | 291.9 | 344.7 | 376.3 |
Finance costs (USD Mn) | 7.4 | 11.0 | 13.3 | 11.2 | 12.5 |
Profit before tax (USD Mn) | 191.8 | 212.7 | 195.1 | 248.1 | 278.5 |
Income tax (USD Mn) | 28.6 | 39.5 | 31.0 | 47.3 | 53.7 |
Net profit total (USD Mn) | 163.3 | 173.2 | 164.1 | 200.8 | 224.8 |
Net profit attributable (USD Mn) | 163.1 | 172.7 | 163.5 | 200.5 | 224.7 |
Basic EPS (US cents) | 5.72 | 6.05 | 5.73 | 7.03 | 7.87 |
Diluted EPS (US cents) | 5.72 | 6.05 | 5.73 | 7.03 | 7.87 |
DPS declared (HK cents) | 13.8 | 16.8 | 18.0 | 38.3 | 40.8 |
Effective tax rate (%) | 14.9 | 18.6 | 15.9 | 19.1 | 19.3 |
Margin Analysis (%)
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Gross margin (%) | 19.1 | 18.6 | 19.2 | 19.7 | 19.9 |
EBIT margin derived (%) | 8.5 | 9.0 | 9.5 | 10.5 | 11.0 |
EBITDA margin derived (%) | 12.5 | 12.7 | 13.4 | 14.0 | 14.2 |
Net margin total (%) | 7.0 | 7.0 | 7.5 | 8.1 | 8.5 |
R&D intensity (%) | 1.33 | 1.38 | 1.49 | 1.31 | 1.31 |
Staff costs to revenue (%) | 24.8 | 23.8 | 23.7 | 24.1 | 24.9 |
Income Statement
| Metric | 1H2022 | 2H2022 | 1H2023 | 2H2023 | 1H2024 | 2H2024 | 1H2025 | 2H2025 | 1H2026 |
|---|---|---|---|---|---|---|---|---|---|
Revenue (USD Mn) | 1,242 | 1,249 | 1,009 | 1,168 | 1,094 | 1,376 | 1,229 | 1,412 | 1,296 |
Net profit (USD Mn) | 76 | 97 | 74 | 90 | 84 | 117 | 98 | 127 | 109 |
Balance Sheet
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Total assets (USD Mn) | 1,959.5 | 1,895.0 | 1,974.6 | 2,254.5 | 2,185.0 |
Property plant and equipment (USD Mn) | 623.8 | 582.3 | 550.6 | 599.4 | 686.3 |
Bank balances and cash (USD Mn) | 401.3 | 455.1 | 543.4 | 426.7 | 382.3 |
Short-term bank deposits (USD Mn) | 0.0 | 0.0 | 63.7 | 146.7 | 0.0 |
Bank borrowings all current (USD Mn) | 167.6 | 101.7 | 63.7 | 147.0 | 0.0 |
Lease liabilities current (USD Mn) | 11.4 | 10.3 | 9.4 | 10.3 | 13.3 |
Lease liabilities non-current (USD Mn) | 19.5 | 20.5 | 16.8 | 17.4 | 22.4 |
Total debt incl leases (USD Mn) | 198.4 | 132.5 | 89.9 | 174.7 | 35.6 |
Short-term debt incl current leases (USD Mn) | 179.0 | 112.0 | 73.1 | 157.3 | 13.3 |
Long-term debt non-current leases (USD Mn) | 19.5 | 20.5 | 16.8 | 17.4 | 22.4 |
Net debt incl leases negative is net cash (USD Mn) | -202.9 | -322.6 | -517.2 | -398.7 | -346.7 |
Company-defined net cash (USD Mn) | 233.7 | 353.4 | 543.4 | 426.5 | 382.3 |
Goodwill (USD Mn) | 74.9 | 74.9 | 74.9 | 74.9 | 74.9 |
Intangible assets (USD Mn) | 80.9 | 76.0 | 71.1 | 66.2 | 61.3 |
Inventories (USD Mn) | 308.3 | 280.2 | 239.0 | 281.4 | 321.6 |
Current assets (USD Mn) | 1,063.8 | 1,020.6 | 1,135.0 | 1,360.3 | 1,209.1 |
Current liabilities (USD Mn) | 611.2 | 489.9 | 481.1 | 664.9 | 515.7 |
Working capital (USD Mn) | 452.7 | 530.7 | 653.9 | 695.4 | 693.5 |
Total equity (USD Mn) | 1,293.3 | 1,345.3 | 1,438.9 | 1,535.4 | 1,611.7 |
Equity attributable to owners (USD Mn) | 1,288.9 | 1,341.5 | 1,434.4 | 1,530.7 | 1,608.1 |
Cash Flow
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Operating cash flow (USD Mn) | 190 | 349 | 313 | 106 | 266 |
Capital expenditure (USD Mn) | 90 | 106 | 69 | 160 | 183 |
Free cash flow OCF minus capex (USD Mn) | 100 | 243 | 244 | -54 | 83 |
Acquisition spend (USD Mn) | 42 | 58 | 0 | 0 | 0 |
Dividends paid (USD Mn) | 54.4 | 54.0 | 61.2 | 97.8 | 148.4 |
Share buybacks (USD Mn) | 0 | 0 | 0 | 0 | 0 |
Returns & Leverage Ratios (%) and Financial Ratios (x)
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
ROE on year-end attributable equity (%) | 12.7 | 12.9 | 11.4 | 13.1 | 14.0 |
ROA on year-end total assets (%) | 8.3 | 9.1 | 8.3 | 8.9 | 10.3 |
ROIC derived (%) | 15.5 | 17.8 | 18.9 | 18.5 | 18.5 |
Current ratio (x) | 1.74 | 2.08 | 2.36 | 2.05 | 2.34 |
Debt to equity incl leases (x) | 0.15 | 0.10 | 0.06 | 0.11 | 0.02 |
Net debt to EBITDA negative is net cash (x) | -0.70 | -1.02 | -1.77 | -1.16 | -0.92 |
Interest coverage EBIT to finance costs (x) | 26.8 | 20.3 | 15.6 | 23.2 | 23.3 |
Asset turnover revenue to year-end assets (x) | 1.19 | 1.31 | 1.10 | 1.10 | 1.21 |
Cash conversion cycle (days) | 56 | 63 | 69 | 71 | 81 |
Receivable turnover (days) | 42 | 39 | 41 | 52 | 62 |
Inventory turnover (days) | 52 | 53 | 54 | 48 | 52 |
Payable turnover (days) | 38 | 29 | 26 | 29 | 33 |
Dividend payout ratio (%) | 31 | 35 | 40 | 70 | 66 |
Revenue by Region
| Region | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Asia Pacific revenue (USD Mn) | 949.7 | 940.8 | 877.3 | 982.1 | 1,060.2 |
North America or US revenue (USD Mn) | 908.2 | 959.9 | 843.1 | 942.5 | 988.1 |
Europe revenue (USD Mn) | 386.8 | 449.1 | 386.0 | 480.3 | 511.7 |
Other countries revenue (USD Mn) | 96.8 | 141.2 | 70.9 | 64.8 | 81.1 |
Total revenue (USD Mn) | 2,341.4 | 2,491.0 | 2,177.3 | 2,469.6 | 2,641.2 |
Region Margins & Growth (%)
| Region | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|
Asia Pacific growth (%) | -0.9 | -6.7 | 11.9 | 8.0 |
North America or US growth (%) | 5.7 | -12.2 | 11.8 | 4.8 |
Europe growth (%) | 16.1 | -14.0 | 24.4 | 6.6 |
Other growth (%) | 45.9 | -49.8 | -8.6 | 25.2 |
Revenue by Region (%)
| Region | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Asia Pacific share (%) | 40.6 | 37.8 | 40.3 | 39.8 | 40.1 |
North America or US share (%) | 38.8 | 38.5 | 38.7 | 38.2 | 37.4 |
Europe share (%) | 16.5 | 18.0 | 17.7 | 19.4 | 19.4 |
Other share (%) | 4.1 | 5.7 | 3.3 | 2.6 | 3.1 |
Geographic Revenue
| Region | 1H2025 (USD Mn) | 1H2026 (USD Mn) | YoY (%) |
|---|---|---|---|
Asia Pacific | 478.3 | 503.3 | 5.2 |
North America | 462.9 | 438.4 | -5.3 |
Europe | 252.7 | 306.2 | 21.2 |
Other | 35.6 | 48.0 | 35.1 |
Revenue by Region and Revenue by Region (%)
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Customer A revenue (USD Mn) | 787.7 | 748.6 | 712.8 | 898.6 | 973.8 |
Customer A share of revenue (%) | 33.6 | 30.1 | 32.7 | 36.4 | 36.9 |
Share Price History
| Date | Price | Note |
|---|---|---|
3 Nov 2017 | ≈7.50 | IPO price (derived: HK$3.82bn / 509.3m shares; range HK$7.30–8.80) |
27 Jan 2026 | ≈7.15 | Intraday, after the Egypt announcement |
22 Aug 2026 | 7.20 | Latest retrieved close; prior close 7.49 |
12-month range (TipRanks snapshot, 2025) | 3.50–7.30 | Low/high |
Valuation Snapshot
| Multiple | Value | Basis |
|---|---|---|
Market cap | HK$20.54bn (≈US$2.63bn) | [S11] |
P/E, FY2025 | 11.7x | EPS US7.87c ≈ HK$0.614 |
P/E, trailing 12 months | 11.2x | TTM EPS US8.24c (FY2025 + 1H26 − 1H25) |
P/B | 1.6x | Jun 2026 attributable equity US$1,637m ≈ HK$4.48/share |
EV | ≈US$2.22bn | Market cap − net cash US$439m + leases US$30m |
EV/EBITDA (TTM) | ≈5.6x | TTM EBITDA (derived) ≈US$395m |
EV/Sales (TTM) | ≈0.82x | TTM revenue US$2,708m |
Trailing dividend yield | ≈5.9% | Final HK24.5c + interim HK18.0c paid in the last 12 months |
Source Details
| Source | Rating / target | Date |
|---|---|---|
Investing.com consensus | Average 12-month PT HK$8.28 (high HK$9.40, low HK$6.80) | As of 22 Aug 2026 [S11] |
TipRanks | Average PT HK$8.50 (one analyst, Buy); earlier snapshot 5 Buy / 1 Hold / 0 Sell | 2025–2026 [S12] |
Morgan Stanley (Terence Cheng) | Buy, PT HK$6.25 | Early 2025 [S23] |
MarketScreener consensus forecasts (USD Mn) | FY2026E revenue 3,004, net income 260; FY2027E revenue 3,298, net income 293 | Snapshot dated mid-2025; likely stale [S12] |
Income Statement (FY2025–FY2027)
| Metric | FY2025 | FY2026 | FY2027 |
|---|---|---|---|
Consensus revenue (USD Mn) | 2,726 | 3,004 | 3,298 |
Consensus net income (USD Mn) | 228.8 | 260.3 | 292.7 |
Actual revenue (USD Mn) | 2,641 | 0 | 0 |
Actual net income (USD Mn) | 224.8 | 0 | 0 |
Per-Share Data
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Interim DPS (HK cents) | 4.0 | 5.0 | 5.0 | 13.8 | 16.3 |
Final DPS (HK cents) | 9.8 | 11.8 | 13.0 | 19.0 | 24.5 |
Special DPS (HK cents) | 0.0 | 0.0 | 0.0 | 5.5 | 0.0 |
Total DPS (HK cents) | 13.8 | 16.8 | 18.0 | 38.3 | 40.8 |
Capital Markets
| Item | Amount (30 Jun 2026) | Maturity |
|---|---|---|
Bank borrowings | US$17.8m | Repayable on demand / within one year; floating rate (2.95–5.04%) |
Lease liabilities, current | US$11.2m | Within one year |
Lease liabilities, non-current | US$18.5m | Beyond one year |
Analyst Conclusions
Management guidance (as of 19 Aug 2026) [S5]
-
2H2026 YoY growth expected to exceed 1H2026's (revenue +5.4%; net profit +10.6%).
-
Productivity gains from automation and the integration of 6,000 recent hires.
-
FY2026 capex at a historically high level (1H2026: US$112m), driven by Egypt.
-
Dividends to remain stable and rise with earnings over time; 60% interim payout.
-
Vietnam fabric mill to start operations by end-2026 [S1].
Consensus growth expectations. The available consensus (mid-2025 snapshot) implied roughly 10% annual revenue growth and 12–14% net income growth in FY2026–27 [S12]. Year-to-date delivery (≈5% revenue, ≈11% profit) suggests profit expectations are broadly achievable but revenue expectations are stretched.
Bull case
-
Compounding margins with a cash-rich balance sheet. Net margin rose from 7.0% to 8.5% (FY2022–FY2025) and to 8.4% in 1H2026 even in a tariff-disrupted year. With net cash of about US$439m and EV/EBITDA of about 5.6x, the stock offers a ~6% yield and double-digit EPS growth (EPS +12.0% in FY2025; +10.8% in 1H2026).
-
Egypt and vertical integration close the margin gap. Shenzhou earns a 26% gross margin through deep fabric integration. If the Vietnam mill (2026) and the Egypt complex move Crystal even part of the way from 19.9%, the earnings leverage is large: each 100bp of gross margin is worth about US$26m pre-tax at FY2025 revenue. Egypt also serves a Europe business already growing above 20%.
-
Share-of-wallet momentum. Customer A plus sportswear brands drove all-segment growth in FY2024–25. Vendor consolidation by brands favours scaled, multi-category Tier-1 suppliers.
Bear case
-
Labour-constrained growth and cost inflation. Revenue growth slowed to about 2.6% in 2H2025 and 5.4% in 1H2026, while staff costs reached 28.4% of revenue. Vietnam's labour market is the binding constraint, and the company itself moderated expansion there.
-
Concentration and US exposure. Customer A is about 37% of revenue and North America fell 5.3% in 1H2026. A sourcing reallocation by the anchor customer or further US tariff escalation would hit both revenue and utilisation.
-
Capex and working-capital drag. FY2026 capex is historically high; Egypt adds execution risk, with approval still pending in Aug 2026; and the cash conversion cycle has lengthened to 81 days. Free cash flow could fall short of dividends in FY2026–27, pressuring the payout narrative.
Key catalysts and monitorables (next 12 months)
Concluding analyst verdict.
Crystal International is a well-run, conservatively financed, family-controlled apparel OEM that has turned scale and category breadth into steady margin improvement and rising cash returns. The FY2021–FY2025 record is consistent:
-
Gross margin up 80bp from FY2021, and up every year since FY2022.
-
EBIT margin up about 250bp.
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Attributable net profit compounding at about 8% a year despite a severe 2023 destocking cycle.
-
Total dividends nearly tripled (HK13.8c to HK40.8c).
-
Bank debt eliminated.
On roughly 11x trailing earnings, about 5.6x EV/EBITDA and a ~6% yield, the market prices Crystal as a low-growth cyclical. That looks conservative for a business delivering ROIC of about 18–19%.
The debate for the next 12–24 months is growth quality versus investment intensity. Topline momentum has clearly decelerated. Second-half 2025 revenue was close to flat, and 1H2026 grew only mid-single digits as Vietnam's labour market tightened and North American demand softened under tariffs. Management's answer is threefold: hire and upskill (87,000 staff), automate, and build new capacity in Egypt and new fabric capacity in Vietnam. Strategically this is sound, because it diversifies tariff and labour risk and pursues the integration that underpins Shenzhou's superior margins. Financially, it will compress free cash flow through FY2026–27 and introduces greenfield execution risk in an untested jurisdiction.
Customer concentration (about 37% from Customer A) and the 80% family stake cap the governance score and the multiple. Neither is new, and the anchor relationship has been a net positive through the cycle.
Net assessment: constructive, with a moderate-quality, income-plus-growth profile. The equity case rests on three things: (i) 2H2026 delivering the promised acceleration; (ii) Egypt approval and a disciplined capex disclosure; and (iii) no deterioration in Customer A share. Confirmation of all three would justify a re-rating toward the HK$8.3–8.5 analyst targets. Failure on the labour-productivity front is the principal downside risk.
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View Subscription PlansExecutive Leadership
Board of Directors
| Name | Role | Board tenure / key dates | Prior roles and background | Education | Age |
|---|---|---|---|---|---|
LO Lok Fung Kenneth (羅樂風) | Chairman; Executive Director; Chair of Nomination Committee; member of Remuneration Committee | Co-founder 1970; CEO until Dec 2007 | Eldest son of Law Ting-pong (founder of the Bossini brand); began work in the family glove/sweater business at 14; EY Entrepreneur of the Year China (HK/Macau) 2014; DHL/SCMP Owner-Operator Award 2016 | Not disclosed in retrieved sources | Born Oct 1938 (≈87) |
LO CHOY Yuk Ching Yvonne (羅蔡玉清) | Vice Chairman; Executive Director | Co-founder 1970 | Co-founder; trade press describes her as overseeing finances; Honorary Chairperson, Hong Kong Federation of Women | — | 78 per company management page (undated) |
LO Ching Leung Andrew (羅正亮) | Vice Chairman (from 1 Jan 2025) and CEO; Executive Director; Chair of Corporate Development Committee | Executive Director since Mar 1994; CEO following Kenneth Lo's Dec 2007 step-down (third-party data cite a 1994 start date as CEO; discrepancy noted) | Hong Kong Exporters' Association softgoods sub-committee 2003–07; director of HK Research Institute of Textiles & Apparel 2010–16; Textile Council of HK 2014–21; HKTDC Garment Advisory Committee from Apr 2023; Young Industrialist Award 2016 | University of Toronto (1988) | 57 per company page (undated) |
WONG Sing Wah | Executive Director | Not disclosed in retrieved sources | — | — | — |
LO Howard Ching Ho (羅正豪) | Executive Director (from 1 Jan 2021); SVP Sales & Operations, Knits | Joined Sep 2005 as executive trainee; lifestyle-wear division; SVP since Apr 2014 | Son of the founders | — | 42 in Dec 2020 (≈48) |
WONG Chi Fai | Non-executive Director (re-designated from Executive, Jan 2023) | Re-designated 16 Jan 2023 | Former executive director | — | — |
LEE Kean Phi Mark | Non-executive Director (from 1 Feb 2022) | Appointed 2022 | Vice President of Crystal SL Global Pte (Singapore); former executive director and CEO of a Singapore apparel group; textile and fashion federation and Singapore Business Federation roles | — | 48 in Jan 2022 (≈52) |
CHANG George Ka Ki | INED; Chair of Audit Committee | — | — | — | — |
MAK Wing Sum Alvin | INED; Chair of Remuneration Committee | Audit Committee member from Jun 2021 | — | — | — |
WONG Siu Kee | INED | Appointed Jun 2021 | — | — | — |
MAK TANG Pik Yee Agnes, MH, JP | INED; Audit and Remuneration Committees | Audit Committee from Sep 2022; moved from Nomination to Remuneration Committee 1 Jan 2025 | — | — | — |
“—” = not publicly disclosed.
Directors' Remuneration
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Total directors emoluments (USD Mn) | 6.86 | 6.98 | 5.69 | 6.46 | 5.90 |
Board & Management Changes
| Date | Change | Context |
|---|---|---|
1 Jan 2021 | Howard Lo appointed Executive Director | Next-generation succession [S15] |
Jun 2021 | Benny Tse retires as INED; Wong Siu Kee appointed INED | Board refresh [S30] |
1 Feb 2022 | Mark Lee appointed NED | Singapore/sourcing expertise [S15] |
Sep 2022 | Agnes Mak joins Audit Committee | [S30] |
16 Jan 2023 | Wong Chi Fai re-designated from ED to NED | [S30] |
1 Jan 2025 | Andrew Lo appointed Vice Chairman (remains CEO); Agnes Mak moves to Remuneration Committee | Formalises succession hierarchy [S7] |
Major Shareholders
| Holder | Stake (%) | Shares | Source / date |
|---|---|---|---|
Mr. Kenneth Lo and Mrs. Yvonne Lo (controlling shareholders, incl. 2019 reorganisation vehicles) | ≈80.0 | ≈2,282.3m | 18 Mar 2019 reorganisation announcement [S10]; still controlling per [S1] |
Mr. Andrew Lo (CEO) | ≈2.39 | 68,074,080 | Third-party data as of 30 Dec 2024 [S19]; may overlap with family interests |
Public float | ≈19.2 (waiver minimum 18.51%; accepted ≈19.19%) | — | HKEX information sheet, Jun 2022 [S14] |
Fast Retailing (IPO cornerstone, US$20m) | Current stake not disclosed | — | [S9] |
L Brands / L (Overseas) Holdings (IPO cornerstone, US$10m) | Current stake not disclosed | — | [S9] |
Competitive Landscape
Key Competitors
| Competitor | Listing | HQ | Overlapping segments | Relative positioning vs Crystal | Verified financials |
|---|---|---|---|---|---|
Shenzhou International Group | 2313.HK | China | Sportswear (≈68% of its sales), casual, lingerie | Larger and higher-margin vertically integrated knit specialist; key Uniqlo/Nike/Adidas/Puma supplier; heavy fabric integration | FY2025 revenue RMB30,994m; GM 26.3%; NM 18.8% [S13] |
Eclat Textile | 1476.TW | Taiwan | Sportswear, performance fabric | Vertically integrated performance-fabric and garment maker | — |
Makalot Industrial | 1477.TW | Taiwan | Lifestyle/casual, sportswear | Asset-light multi-country garment OEM serving US/Japan retailers | — |
Youngone Corporation | 111770.KS | South Korea | Outdoor and sportswear | Large outdoor/technical apparel OEM; Bangladesh scale | — |
Hansae Co. | 105630.KS | South Korea | Lifestyle knits | Big US mass-retail knit supplier | — |
Regina Miracle International | 2199.HK | Hong Kong | Intimate (bras, moulded products) | Intimate specialist with seamless/moulding technology | — |
MAS Holdings | Private | Sri Lanka | Intimate, sportswear | Leading intimate and active OEM | — |
Brandix | Private | Sri Lanka | Intimate, casual | Large Sri Lankan OEM | — |
TAL Apparel | Private | Hong Kong | Woven shirts and pants (lifestyle) | Premium woven OEM | — |
Esquel Group | Private | Hong Kong | Woven shirts, knits (lifestyle) | Vertically integrated cotton-to-shirt producer | — |
Nien Hsing Textile | 1451.TW | Taiwan | Denim | Vertically integrated denim | — |
Lever Style | 1346.HK | Hong Kong | Lifestyle/premium woven (asset-light) | Small-batch premium brands | — |
Gildan Activewear | GIL (NYSE/TSX) | Canada | Basics (overlap with lifestyle knits) | Own-brand plus private-label basics; Bangladesh expansion | — |
“—” = not publicly disclosed.
Peer Comparison FY2025
| Metric | Crystal (USD) | Shenzhou (MYR Bn) |
|---|---|---|
Revenue FY2025 | US$2,641m [S1] | RMB30,994m [S13] |
Revenue growth FY2025 | 6.9% | 8.1% |
Gross margin FY2025 | 19.9% | 26.3% |
Net margin FY2025 | 8.5% | 18.8% |
Revenue growth FY2024 | 13.4% | 14.8% |
R&D intensity | 1.3% | — |
Recent Developments
The last rightsizing was in 2023.
