Stella International Holdings generated consolidated revenue of US$412.9 million in the third quarter of 2026, up 2.2% year on year. In the first nine months, revenue increased by 1.7% to just under US$1.2 billion.
In its footwear manufacturing business, third-quarter revenue rose by 1.3% to US$396.7 million. Shipment volumes, however, fell by 4.3% to 13.3 million pairs. The average selling price increased by 6% to US$29.90 per pair, driven by a higher-value product mix, particularly in the sports segment, as well as higher raw material costs.
Stella International attributed the decline in volumes primarily to the front-loading of production for a customer in the casual segment. This was related to the gradual closure of its footwear manufacturing facility in the Philippines, which began in July 2026. During the first nine months of the year, the company shipped 40.8 million pairs, 1.4% fewer than in the same period last year.
As part of its three-year plan for 2026 to 2028, the group is expanding its production base. A new factory in Vietnam serving a premium sports customer began operations in the third quarter and is expected to ramp up through 2027. Two further factories in Indonesia and Bangladesh are scheduled to commence operations in the fourth quarter of 2026. Together with the existing facility in Solo, Indonesia, the new sites are expected to increase production capacity by around 20 million pairs over the coming years.
Stella International regards 2026 as an investment year. The majority of the profit growth expected from its strategy is anticipated to materialise in the second half of the three-year plan. The company also intends to return up to an additional US$60 million to shareholders in 2026 through share buybacks and special dividends.
