Printwear & Promotion The Total Promotional Package
Gildan has reported sales of $459 million for the first quarter of 2020 ended March 29, a drop of 26% compared to Q1 2019.
Glenn Chamandy, president and CEO, said: “During the first quarter, we faced unprecedented impacts globally as the COVID-19 pandemic unfolded. This required us to amplify our focus on what we do best and on what we can do to support all our stakeholders as a values-driven, strong, resilient, and well-positioned company.”
The company reported that its performance was on track during the first two months of the quarter, but as global efforts to slow the transmission of COVID-19 heightened in March Gildan started to see a significant downturn in demand for core products, particularly in the printwear channel where products are typically used for promotional, sporting, entertainment, and other large-gathering and cultural events.
Activewear sales dropped by 24.5% to $372.6 million during Q1.
To address the outfall of COVID-19, Gildan has put several measures in place, including the company’s board of directors, CEO and executive vice presidents foregoing 50% of their salaries and senior staff taking pay reductions varying between 20% and 35%. And as of March 30, the majority of salaried staff moved to a four-day week.
Mr Chamandy added: “I am both proud of and extend my gratitude to our employees for their dedication and efforts during this crisis which we will continue to move through over the coming months. I am also equally proud that in these difficult times, Gildan has been able to join with our partners to adapt rapidly to be able to produce products for the health care sector and people working in essential roles, as we all fight this global challenge.”
