Utenos Trikotazas - Interim information

The sales of AB "Utenos trikotažas" increased by 16.6 percent

Utena, Lithuania, 2016-07-29 14:00 CEST (GLOBE NEWSWIRE) -- During the first
half of 2016, the sales of AB "Utenos trikotažas" amounted to 8.2 million EUR
and were 16.6% higher compared to the same period of 2015.During the first half
of 2016, the consolidated sales of AB "Utenos trikotažas" group amounted to 9.7
million EUR and were 15.1% higher compared to the same period of 2015. 

"The continuously increasing operating results of the company show that AB
"Utenos trikotažas" chose an effective strategy for the development of higher
value-added products and investment into innovations and modern technologies, -
says Eimundas Mačiulis, the Managing Director of AB "Utenos Trikotažas". –
Results of the first half of the year were mostly influenced by the new
customers of the company. Participation in international exhibitions and
constant search for new customers started to give results: over the past two
years, the company's customer list increased by more than a third, and "Utenos
trikotažas" products currently reach not only most of the Western European
countries, but also Japan as well". 

AB "Utenos trikotažas" group, which consists of AB "Utenos trikotažas", AB
"Šatrija" and the company "Mrija" in Ukraine, earned 285 thousand EUR of
operating profit during the I half of 2016, whereas during the same period in
2015 the company made an operating profit of 205 thousand EUR. During the first
half of 2016, AB "Utenos trikotažas" suffered 32 thousand EUR of operating
losses, whereas in 2015 it suffered operating losses of 393 thousand EUR. 

"By following the company's operational strategy, we have decided not to
undertake large but less profitable orders within the past several years, and
now we are focusing on the manufacture of higher value-added products. AB
"Utenos Trikotažas" is one of the few European textile companies that has a
complete vertically integrated production process and is able to offer its
customers a full range of services – from the production of preferred fabrics
to the final product. Today, clothing collections in the retail trade are
changed much more often than before. Customers order smaller batches and are
searching for uniqueness much more often now. The fact that "Utenos trikotažas"
is able to promptly carry out a wide variety of orders and adapt to the unique
needs of its customers is currently a very important competitive advantage for
us", - says head of the company while commenting on the successful strategy of
AB "Utenos trikotažas". 

According to E.Mačiulis, investments into the modernization of production and
the standards of environmentally-friendly production processes and raw
materials enabled "Utenos trikotažas" to not only offset market contraction due
to slower economy in Russia, but to also enter new markets. 

The sales of AB "Utenos trikotažas" own brands - ABOUT and "Utenos trikotažas"
have increased by almost 50 percent during the first six months of 2016,
compared to the same period of 2015. 

"Stable increase in the sales of our own brands is ensured by two significant
factors: consumer trust in markets on which we are focusing – firstly in
Lithuania and other Baltic and Scandinavian countries, in Germany, Japan, etc.,
while the second factor is good evaluation of our ecological and comfortable
Lithuanian products", - says Eimundas Mačiulis, the Managing Director of AB
"Utenos Trikotažas". 

For more information on the material event, please contact Eimundas Mačiulis,
the   Managing Director of AB Utenos Trikotažas, tel. 8 389 51445. 



Managing Director Eimundas Mačiulis

Attachments:

Interim financial statements 2016 IIQ.pdf

Consolidated interim report 2016 IH.pdf

Confirmation of responsible persons.pdf