Fountain Set Holdings
Executive Summery
Fountain Set (Holdings) Limited exhibited robustness in 2025 despite a downturn in sales resulting from tough market environments. Thanks to sound cost control and higher levels of operational efficiency, the firm has seen a great improvement in its bottom line. Emphasis on sustainable growth, quality products, and good client relations have made the firm more competitive in the world of textiles. The announcement of dividends is a sign that management is confident about the future of the firm.
Company Overview
Fountain Set (Holdings) Limited is a prominent company that produces textiles in Hong Kong. It specializes in the manufacturing of knitted materials, dyeing operations, and garment making. The company was established in 1969. It operates production sites throughout Asia to supply products to various apparel companies globally. The company is renowned for excellence, innovation, and sustainability efforts.
Founder : Ha Chung Fung
Industry Overview
The market that Fountain Set (Holdings) Limited is involved in globally involves knitting fabrics as well as the making of garments. This market is affected by some of the following determinants such as high demands for fast fashion, sports apparel, and sustainable textiles. There have been efforts by clothing manufactures to come up with environmentally friendly methods of production, reuse of materials, and use of automatic machines. The risks in this market may be attributed to fluctuations in the price of raw materials, salary increment for the labor, and instability. However, firms dealing with this market continue to benefit from logistics, innovative functional textiles designs, and customers relations.
Financial Performance
Particular | 2025 ( HK$) | 2024(HK$) |
Revenue | 4136716 | 4426558 |
Cost of Sale | (3577318) | (3897147) |
Gross Profit | 559398 | 529411 |
Other Revenue | 79987 | 73567 |
Other Gain and Losses | (56164) | (13713) |
Distribution And Selling Exp | (63666) | (92602) |
Administrative Exp | (408528) | (407576) |
Finance Cost | (9386) | (13126) |
Share of Profit of An Associate | 1249 | 1099 |
Profit Before Income Tax Exp | 102890 | 77060 |
Less : Income Tax | (18681) | (42483) |
Profit For the Year | 84209 | 34577 |
Graph
Chart
Key Financial Ratio
Ratio | 2025 | 2024 |
Gross Profit Margin | 13.52% | 11.96% |
Net Profit Margin | 2.04% | 0.78% |
Cost Of Sale Ratio | 86.48% | 88.04% |
Operating Exp Ratio | 11.42% | 11.30% |
Profit Before Tax Margin | 2.49% | 1.74% |
Effective Tax Rate | 18.16% | 55.13% |
SWOT Analysis
Strengths: The company is proficient in textile production, has a well co- ordinate supply chain, and maintains long term partnership with various apparel companies globally.
Weaknesses: Global market trends in fashion and increasing cost of labor and material might impact profits.
Opportunities: Increased demand for sustainable product and market expansion in international region can drive future Growth.
Threats: Competition and Economic instability might affect performance.
Conclusion
Fountain Set (Holdings) Limited exhibits a high level of determination and perseverance despite challenges within the international textiles industry. Despite being faced with market challenges, Fountain Set has succeeded in enhancing its operations through prudent management and operations. The emphasis on quality, sustainability, and building good customer relations still serves as drivers of its growth in the future. With the many years of experience in the industry and proper strategy, Fountain Set is gradually regaining its strength.
Despite a hostile environment of operations, Fountain Set has shown growth and resilience as part of its recovery process. The steps put in place by the organization to boost efficiency and effectiveness have proved successful because the profit margin has improved.
Reference
- Fountain Set Holdings Annual Report
- Fountain Set Holdings Official Website