Jerash Holdings (US), Inc.

Jerash Holdings (US), Inc.

Purpose

Jerash Holdings is a holding company whose wholly owned subsidiaries manufacture and export customized, ready-made sportswear and outerwear. Products are made from knitted fabric produced in Jordan and sold to major brands and retailers.

Core operations

• Garment manufacturing and export focused on sportswear and outerwear (jackets, polo shirts, t-shirts, pants, shorts).
• Primary offerings by year:
  • 2026: vests, shorts, and pants (about 35% of shipped pieces).
  • 2025: crew necks (about 37% of shipped pieces).

Production footprint

• Location: Multiple facilities in Jordan, including Al Tajamouat Industrial City (Amman), Al-Hasa County (Tafilah), and Balama Sub-district (Mafraq).
• Scale: Eight factories and six warehouses operated by the Group.
• Capacity: Total annual capacity of approximately 24 million pieces (as of March 31, 2026).
• Workforce: Approximately 6,300 full-time employees (locations include Jordan, Hong Kong, China, and the United States).
• Recent expansion and land:
  • Purchase of Property No. 1326 in Al Tajamouat Industrial City to become a sixth factory (production scheduled for fiscal 2027).
  • 195,000 sq ft housing facility completed in 2025.
  • Additional 133,000 sq ft parcel planned for a seventh factory and housing.

Organizational structure

Wholly owned subsidiaries and key entities:

• Jerash Garments and Fashions Manufacturing Co., Ltd. (Jordan)
• Treasure Success International Limited (Hong Kong)
• Chinese Garments and Fashions Manufacturing Co., Ltd. (Jordan) — transferred to Jerash Garments in 2026
• Jerash Embroidery Co., Ltd. (Jordan) — transferred to Jerash Garments in 2026
• Al-Mutafaweq Co. for Garments Manufacturing Ltd. (Paramount) (Jordan) — transferred to Jerash Garments in 2026
• Mustafa and Kamal Ashraf Trading Company (MK Garments) (Jordan) — subsidiary of Jerash Garments (acquired 2021)
• Jiangmen Treasure Success (PRC) — wholly owned subsidiary of Treasure Success (sales/support in PRC)
• Jerash The First Medical Supplies Manufacturing Company Limited (Jordan) — subsidiary of Jerash Garments
• Jerash Supplies, LLC (Delaware)
• Kawkab Venus Dowalyah Lisenaet Albesah (Kawkab Venus) (Jordan) — acquired by Jerash Garments (2021)
• Ever Winland Limited (Hong Kong) — subsidiary of Treasure Success

Joint ventures:

• J&B International Limited (Hong Kong) — Treasure Success 51%; Eratex 49% (business dissolved with dissolution expected in 2027)
• Jerash Newtech (Hong Kong) Holdings Limited — Treasure Success 51%; Newtech 49% (deregistration completed by August 2025)

Key customers and revenue concentration

Major customers and revenue for fiscal years ended March 31:

• VF Corporation: 2026 revenue $87.020 million (52.3%); 2025 revenue $94.151 million (64.6%)
• New Balance: 2026 $22.760 million (13.7%); 2025 $17.872 million (12.2%)
• Suzhou Unitex: 2026 $10.332 million (6.2%); 2025 $5.696 million (3.9%)
• Tharanco: 2026 $7.663 million (4.6%); 2025 $4.673 million (3.2%)
• Hansoll: 2026 $6.952 million (4.2%); 2025 $6.952 million (4.2%)
• SWC Inc.: 2026 $5.532 million (3.3%); 2025 $5.049 million (3.5%)
• G-III: 2026 $3.799 million (2.3%); 2025 $2.352 million (1.6%)
• Hugo Boss: 2026 $1.315 million (0.8%); 2025 $4.018 million (2.8%)
• Others: 2026 $20.891 million (12.6%); 2025 $12.001 million (8.2%)

Total revenue:

• 2026: $166.264 million
• 2025: $145.812 million

The company reports a high revenue concentration with VF Corporation representing the largest single customer in both years. Customer purchases are driven by a sample development and approval process; there are no long-term contracts or minimum purchase requirements with customers.

Production and supply chain

• Production flow: Cutting → Embroidery (if applicable) → Sewing → Finishing → Quality control → Ironing/packing.
• Materials: Most raw materials (fabric, zippers, labels) are purchased on a purchase-order basis and are designated by customers; the company does not rely on long-term supplier contracts for these inputs.
• Geography: Primary manufacturing is based in Jordan, with administrative, sales, and support activities in Hong Kong, China, and the United States.
• Trade and regulatory environment: Jordan-origin garments benefit from specific trade terms; changes in U.S. and EU trade terms have affected pricing and market access.

Employment and facilities (selected)

• Total employees: ~6,300 (as of March 31, 2026)
• Selected factory personnel by site:
  • Factory 1 (owned): ~1,550 employees
  • Factory 2 (leased): ~1,800 employees
  • Factory 3 (leased): ~200 employees
  • Factory 4 (Paramount, leased): ~1,400 employees
  • Factory 5 (MK Garments): ~650 employees
  • Al-Hasa factory: ~550 employees
  • Balama factory: ~150 employees
• Real estate and expansion highlights:
  • Property No. 1326 purchased in February 2026 for a sixth factory (production planned for 2027)
  • 195,000 sq ft housing facility completed in 2025
  • 133,000 sq ft additional parcel planned for expansion (two-thirds factory, one-third housing)

Financial and regulatory context

• Tax: Jordan corporate income tax rate 20% plus 1% social contribution (2024); tax concession for Jerash Garments at 10% + 1% effective October 1, 2025.
• Sales tax: 16% local sales tax with an exemption extended to February 5, 2027.
• Public company: Jerash Holdings is a Delaware corporation listed on Nasdaq and subject to public company compliance requirements.
• Selected debt facilities:
  • DBS Hong Kong facility: up to $5.0 million; outstanding around $4.9 million (as of March 31, 2026).
  • Bank facilities in Jordan for working capital: outstanding balances largely nil as of March 31, 2026.
  • Mortgage loan: JOD 2,000,000 facility for Property No. 1326, secured by a first-priority mortgage; repayment begins February 2027.

Summary

Jerash Holdings is a Jordan-based garment manufacturer and exporter supplying major global brands through a network of subsidiaries and joint ventures. The company operates multiple factories in Jordan with an annual capacity of roughly 24 million pieces and a workforce of about 6,300. Revenue increased to $166.264 million for the year ended March 31, 2026, driven largely by sales to VF Corporation. The business is undertaking an expansion program that includes a sixth factory and additional workforce housing, and it maintains a mix of owned and leased production facilities.