Linea Aqua, established in 2001 through a collaborative venture between MAS Holdings and Pentland Brands in the U.K., stands as a prominent player in the swimwear industry. Specializing in the production of swimwear for globally recognized brands such as Speedo, Aerie, Victoria’s Secret, Calvin Klein, and Tommy Hilfiger, the organization is a pioneer in water-neutral practices. In this interview with Inoka Liyanagama, Business Director of Linea Aqua, we delve into the company’s commitment to innovation, sustainability, and inclusivity.
Could you provide an overview of Linea Aqua?
Our primary focus lies in the production of swimwear for globally recognized brands such as Speedo, Aerie, Victoria’s Secret, Calvin Klein, and Tommy Hilfiger. With four state-of-the-art production facilities, we manufacture nearly 24 million pieces annually, providing employment opportunities for approximately 6000 individuals.
How has Linea Aqua been able to navigate challenges from events like the Easter bomb incident and COVID-19?
In our 23-year journey since 2001, Linea Aqua has encountered significant challenges, especially in the last seven years. The pivotal moment came in 2016 when a major brand’s exit from the swimwear market resulted in a substantial 50% loss in our top line and a 70% dip in our bottom line, triggering a rebuilding phase.
Subsequent disruptions, including the Easter bomb incident in 2019 and the global challenges of the COVID-19 pandemic in 2020 and 2021, led to operational difficulties. In 2022, additional economic challenges in Sri Lanka compelled us to make tough decisions, yet the year turned out notably successful.
In 2024, we anticipate ongoing challenges exacerbated by the global economic crisis, especially with 70% of our exports tied to the USA and the rest to Europe., where current economic conditions pose a significant challenge.
Despite these hurdles, our commitment to innovation and sustainability persists. We aim to be inclusive in our business practices, attracting global business from Europe and the U.S. and showcasing resilience amid challenging market conditions.
How do you balance profitability while maintaining an emphasis on people and the planet?
Profitability is crucial, without which investing in sustainability and enhancing the well-being of our people becomes challenging. However, Linea Aqua maintains a dual focus, emphasizing profitability while also dedicating teams to prioritize the well-being of both people and the planet. Our commitment extends to our long-term plans, where we prioritize employee and community care, along with environmental protection.
Linea Aqua also proudly holds the distinction of being the world’s only water-neutral apparel company, a result of extensive efforts. Our commitment to employee well-being includes providing medical insurance to all staff, a unique practice in the apparel industry. Additionally, we offer scholarships to team members and their families, enabling access to higher education. Our initiatives extend beyond our immediate community, with various projects across Sri Lanka aimed at promoting environmental sustainability, funded in part by our customers. This comprehensive approach showcases our dedication to creating positive impacts both internally and externally.
What specific initiatives has Linea Aqua undertaken to integrate innovation into both revenue strategies and sustainability goals?
Innovation is a core value for Linea Aqua, and it plays a dual role in our strategic approach. Firstly, we embed innovation to fortify our defence and offence revenue streams, responding to the dynamic consumer demands led by Gen Z and Gen Alpha. Our commitment to delivering novelty every season is a vital aspect of this strategy.
Secondly, innovation is instrumental in our pursuit of sustainability and functionality, particularly in the swimwear market. Collaborating with local and global partners, including universities and tech experts, we explore innovative solutions in raw materials and product development.
Further, in response to the growing emphasis on physical and mental health post-COVID, we’ve introduced functional products such as compression gear for outdoor sports like cycling and hiking, along with recovery items tailored for swimmers.
We are also the proud clothing sponsor for the Sri Lankan paralympic team, where we design and manufacture adaptive clothing. Such initiatives reflect our goal to make our clothing universally accessible, ensuring everyone, regardless of their unique challenges, are supported by our garments.
In short, innovation at Linea Aqua isn’t merely about keeping pace; it’s about contributing meaningfully to sustainability, functionality, and inclusivity in the ever-evolving market landscape.
How does Linea Aqua aim to incorporate sustainability, innovation, and digitization to meet future market demands?
Linea Aqua’s future direction centres on three core pillars: sustainability, product innovation, and digitization. Sustainability, addressing both social and environmental aspects, takes precedence as a paramount agenda item. Simultaneously, we emphasize product innovation, recognizing its interconnectedness with sustainability and its significant role in enhancing lives.
An additional focus is digitization, intrinsically tied to sustainability goals. In our product development processes, we actively integrate digital tools to reduce the need for excessive physical samples, thus minimizing our contribution to landfills. This proactive measure aligns with our commitment to mitigating the environmental impact of the garment industry, known for substantial landfill contributions.
In every facet of our endeavours, encompassing both product development and operational processes, we maintain meticulous measurements of carbon emissions. This commitment ensures that each initiative undertaken by Linea Aqua contributes meaningfully to our broader sustainability objectives and, consequently, positively impacts our planet.