MISGAV, Israel, March 22, 2013 /PRNewswire/ -- Financial Highlights
EBITDA for 2012 increases 112% to $5.8 million
Operating income in 2012 improves by $4 million
Cash flow from operating activities increases by $10.9 million in 2012
Reduction in annual net loss by $3.8 million to less than $0.5 million
Commenting on the results at Tefron during 2012, Amit Meridor, Tefron's CEO said, "Tefron continues to maintain its position as a global leader in the seamless apparel industry. Our top industry standing was very much strengthened in 2012 through further advances in our seamless technology and the introduction of new innovative products, both of which enabled Tefron to make significant improvements in operations and profitability as demonstrated in our financial results for the year. In addition, our strength and position gave us strong leverage in reaching new agreements in the manufacture and distribution of global brands. Foremost among these was the licensing agreement with X-Technology Swiss R&D AG ("XTS") which has enabled us to penetrate a new segment in the professional sports market in North America. This agreement grants Tefron exclusive rights to manufacture, market, and distribute XTS sportswear brands in North America, including the XTS award-winning X-Bionic and X-Socks. Tefron also signed an important commercial cooperation with the Italian brand Cifra SpA to produce a collection of lingerie, shapewear and activewear using Cifra's innovative warp-knit seamless production technology. This new partnership will enable Tefron to market new types of complex and innovative seamless apparel. In other major developments, Tefron signed an agreement Asia Socks for trade services in Asia with aims to significantly increase our competitive position with suppliers and subcontractors in China, significantly enhancing our operational flexibility and production capabilities, as well as the overall production portfolio. Expanding activities of Tefron in China will enable us to better manage a wide range of prices, while reducing procurement costs and providing a full range of solutions to our customers. According to Arnon Tiberg, Chairman of Tefron, "The Company concluded a successful year in 2012, meeting and, in some cases, exceeding our business goals. An analysis of the results shows a clear picture of the Company's high capabilities in reading trends in the global market, while adjusting the optimal product mix to achieve profitability." Looking forward, Tiberg continued, "We will continue to invest in the development and further innovation of seamless apparel technology. But our success is not only our technology; it is also our ability to identify and match products to changing fashions trends in the global market and to advance strong brand names, as well as to operate efficient production and distribution systems and to maintain long-term relationships with our customers."