STELLA HOLDINGS (01836) announced that for the three months ended March 31, 2026, the Group's unaudited consolidated revenue increased by approximately 1.9% to USD 337.4 million, compared to unaudited consolidated revenue of approximately USD 331.0 million for the same period last year.
Regarding the footwear manufacturing business, shipment volume for the three months ended March 31, 2026, decreased by approximately 1.7%. This decline reflects fewer working days during the period due to the earlier timing of the Ramadan celebrations in Indonesia and Bangladesh in 2026. The average selling price increased by 3.8%, primarily driven by a higher proportion of products with elevated average selling prices within the Group's sports category.
Guided by the latest three-year plan (2026-2028), the Group's focus for 2026 is on the commencement of operations and capacity ramp-up at three new factories in Indonesia, Bangladesh, and Vietnam. Together with the factory in Solo, Indonesia, these new facilities are expected to add approximately 20 million pairs of additional capacity in the future. The Group has designated 2026 as an investment year, with the majority of the profit growth outlined in the three-year plan anticipated to materialize in the latter part of the 2026 to 2028 period. The three new factories in Indonesia, Bangladesh, and Vietnam are expected to commence operations in the second half of 2026.
Furthermore, the Group remains committed to paying regular dividends, including final and interim dividends, while maintaining a payout ratio of approximately 70%. Additionally, in 2026, the Group plans to distribute up to USD 60 million in extra cash to shareholders through a combination of share repurchases and special dividends.
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