You can see the state of Gildan in their most recent press release here. You also can listen a recording of their most recent investor’s call and see the powerpoint of the presentation here. It gives a picture, not so pretty, of their empire at the moment. Like most of us, they have taken extreme measures, they have endured shut downs both of their own choosing and of government mandated kind, but obviously they are going to survive and probably better than a lot of us out there.
- Like many of us, they are making cuts and senior managers cut their pay 50%, other managers big reductions, and workers on a four day week.
- Like many of us (albeit on a tremendously larger scale ), they put off all capital project spending and drew down their lines of credit so they will have cash to operate.
- Like many of us, they are now in the mask business, to the tune of planning to make 150 million of them.
- Like most of us, sales are down 26% for the first quarter compared to the first quarter in 2019.
- Like many of us, they expect some of their customers will not pay them due to business failures.
- Demand for t-shirts they say is down 75%. Ouch.
- In the last call with investors they re-iterated their “Back to Basics” direction. Some lines will consolidate and not a lot of new styles from Gildan and they say they will be discontinuing styles.
- They elaborate on the uncertainty of a world experiencing a pandemic, uncertain markets, uncertain trade agreements, uncertain supply chain issues and on and on. There will be obviously a lot of uncertainty, enough to go around for all of us…