Ever-Glory International (EVKG) 10-Q 14 May 19 2019 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2019	May 13, 2019
Document and Entity Information [Abstract]
Entity Registrant Name	Ever-Glory International Group, Inc.
Entity Central Index Key	0000943184
Trading Symbol	EVK
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Type	10-Q
Document Period End Date	Mar. 31, 2019
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2019
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Ex Transition Period	false
Entity Common Stock, Shares Outstanding		14,800,140

Consolidated Condensed Balance

Consolidated Condensed Balance Sheets (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
CURRENT ASSETS
Cash and cash equivalents	$ 57,876	$ 47,012
Accounts receivable, net	57,595	86,527
Inventories	55,035	65,929
Advances on inventory purchases	6,087	6,420
Value added tax receivable	1,229	2,580
Other receivables and prepaid expenses	6,365	10,204
Amounts due from related parties	75	192
Total Current Assets	184,262	218,864
NONCURRENT ASSETS
Intangible assets, net	5,046	4,962
Property and equipment, net	29,135	28,445
Operating lease right-of-use assets	64,549
Total Non-Current Assets	98,730	33,407
TOTAL ASSETS	282,992	252,271
CURRENT LIABILITIES
Bank loans	28,839	29,497
Accounts payable	51,470	78,412
Accounts payable and other payables - related parties	4,040	4,756
Other payables and accrued liabilities	13,769	21,958
Value added and other taxes payable	1,305	2,569
Income tax payable	862	1,569
Current operating lease liabilities	55,434
Total Current Liabilities	155,719	138,761
NONCURRENT LIABILITIES
Deferred tax liabilities	330	354
Non-current operating lease liabilities	9,127
TOTAL LIABILITIES	165,176	139,115
COMMITMENTS AND CONTINGENCIES
Stockholders' equity:
Preferred stock ($0.001 par value, authorized 5,000,000 shares, no shares issued and outstanding)
Common stock ($0.001 par value, authorized 50,000,000 shares, 14,800,140 and 14,798,198 shares issued and outstanding As of March 31, 2019 and December 31, 2018, respectively)	15	15
Additional paid-in capital	3,635	3,627
Retained earnings	105,393	105,914
Statutory reserve	19,083	19,083
Accumulated other comprehensive income	394	(3,578)
Amounts due from related party	(9,253)	(10,354)
Total equity attributable to stockholders of the Company	119,267	114,707
Noncontrolling interest	(1,451)	(1,551)
Total Equity	117,816	113,156
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 282,992	$ 252,271

Consolidated Condensed Balanc_2

Consolidated Condensed Balance Sheets (Parenthetical) (Unaudited) - $ / shares	Mar. 31, 2019	Dec. 31, 2018
Statement of Financial Position [Abstract]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued
Preferred stock, shares outstanding
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares issued	14,800,140	14,798,198
Common stock, shares outstanding	14,800,140	14,798,198

Consolidated Statements of Inco

Consolidated Statements of Income (Loss) and Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Income Statement [Abstract]
SALES	$ 87,956	$ 92,785
COST OF SALES	58,598	61,440
GROSS PROFIT	29,358	31,345
OPERATING EXPENSES
Selling expenses	21,008	22,225
General and administrative expenses	7,529	7,674
Total operating expenses	28,537	29,899
INCOME FROM OPERATIONS	821	1,446
OTHER INCOME (EXPENSE)
Interest income	207	326
Interest expense	(363)	(564)
Other income (expenses)	(295)	136
Total other expenses	(451)	(102)
INCOME BEFORE INCOME TAX EXPENSE	370	1,344
INCOME TAX EXPENSE	(825)	(757)
NET INCOME(LOSS)	(455)	587
Net income(loss) attributable to the non-controlling interest	(66)	228
NET INCOME(LOSS) ATTRIBUTABLE TO THE COMPANY	(521)	815
NET INCOME(LOSS)	(455)	587
Foreign currency translation gain	3,972	4,023
COMPREHENSIVE INCOME	3,517	4,610
Comprehensive loss attributable to the noncontrolling interest	100	270
COMPREHENSIVE INCOME ATTRIBUTABLE TO THE COMPANY	$ 3,617	$ 4,880
EARNINGS(LOSS) PER SHARE:
Basic and diluted	$ (0.04)	$ 0.06
Weighted average number of shares outstanding Basic and diluted	14,800,140	14,795,992

Condensed Consolidated Statemen

Condensed Consolidated Statements of Equity (Unaudited) - USD ($) $ in Thousands	Common Stock	Additional paid-in capital	Retained Earnings, Unrestricted	Retained Earnings, Statutory reserve	Accumulated other Comprehensive income	Amounts due from related party	Total equity attributable to stockholders of the Company	Non-controlling Interest	Total
Balance at Dec. 31, 2017	$ 15	$ 3,620	$ 95,195	$ 17,794	$ 2,585	$ (15,449)	$ 103,760	$ (1,062)	$ 102,698
Balance, shares at Dec. 31, 2017	14,795,992
Net income (loss)			815				815	(228)	587
Net cash paid to related party under counter guarantee agreement						(8,480)	(8,480)
Foreign currency translation loss					4,023		4,023	(94)	3,929
Balance at Mar. 31, 2018	$ 15	3,620	96,010	17,794	6,608	(23,929)	100,118	(1,384)	98,734
Balance, shares at Mar. 31, 2018	14,795,992
Balance at Dec. 31, 2018	$ 15	3,627	105,914	19,083	(3,578)	(10,354)	114,707	(1,551)	113,156
Balance, shares at Dec. 31, 2018	14,795,992
Stock issued for compensation	$ 4	8					8		8
Stock issued for compensation, shares	1,942
Net income (loss)			(521)				(521)	66	(455)
Net cash paid to related party under counter guarantee agreement						1,101	1,101		1,101
Foreign currency translation loss					3,972		3,972	34	4,006
Balance at Mar. 31, 2019	$ 15	$ 3,635	$ 105,393	$ 19,083	$ 394	$ (9,253)	$ 119,267	$ (1,451)	$ 117,816
Balance, shares at Mar. 31, 2019	14,800,140

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
CASH FLOWS FROM OPERATING ACTIVITIES
Net income (loss)	$ (455)	$ 587
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation and amortization	2,225	2,537
Loss from sale of property and equipment	52	4
Provision for obsolete inventories	1,824	1,626
Deferred income tax	(145)	(234)
Stock-based compensation	8
Changes in operating assets and liabilities
Accounts receivable	31,027	28,466
Inventories	10,557	(129)
Value added tax receivable	1,406	1,895
Other receivables and prepaid expenses	3,975	832
Advances on inventory purchases	490	(1,175)
Amounts due from related parties	103	(165)
Accounts payable	(26,505)	(17,944)
Accounts payable and other payables- related parties	(741)	(653)
Other payables and accrued liabilities	(9,565)	(5,182)
Value added and other taxes payable	(2,788)	(1,988)
Income tax payable	(327)	(670)
Net cash provided by operating activities	11,141	7,807
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of property and equipment	(2,131)	(2,552)
Net cash used in investing activities	(2,131)	(2,552)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from bank loans	6,029	17,346
Repayment of bank loans	(7,408)	(14,780)
Repayment of loans from related party	3,488
Advances to related party	(2,163)	(7,692)
Net cash used in financing activities	(54)	(5,126)
EFFECT OF EXCHANGE RATE CHANGES ON CASH	1,908	2,172
NET INCREASE IN CASH AND CASH EQUIVALENTS	10,864	2,301
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	47,012	62,876
CASH AND CASH EQUIVALENTS AT END OF PERIOD	57,876	65,177
Cash paid during the period for:
Interest	363	564
Income taxes	$ 126	$ 1,938

Basis of Presentation

Basis of Presentation	3 Months Ended
	Mar. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BASIS OF PRESENTATION	NOTE 1 BASIS OF PRESENTATION Ever-Glory International Group, Inc. (the “Company”), together with its subsidiaries, is an apparel manufacturer, supplier and retailer in The People’s Republic of China (“China or “PRC”), with a wholesale segment and a retail segment. The Company’s wholesale business consists of recognized brands for department and specialty stores located in China, Europe, Japan and the United States. The Company’s retail business consists of flagship stores and store-in-stores for the Company’s own-brand products. The Company’s wholesale operations are provided primarily through the Company’s wholly-owned PRC subsidiaries, Goldenway Nanjing Garments Co. Ltd. (“Goldenway”), Nanjing Catch-Luck Garments Co. Ltd. (“Catch-Luck”), Nanjing New-Tailun Garments Co. Ltd (“New-Tailun”), Ever-Glory International Group Apparel Inc.(“Ever-Glory Apparel”), Chuzhou Huirui Garments Co. Ltd. (“Huirui”) and Nanjing Tai Xin Garments Trading Company Limited (“Tai Xin”), and the Company’s wholly-owned Samoa subsidiary, Ever-Glory International Group (HK) Ltd. (“Ever-Glory HK”) and Ever-Glory Supply Chain Service Co., Limited (“Ever-Glory Supply Chain”). The Company’s retail operations are provided through its wholly- owned subsidiaries, Shanghai LA GO Fashion Company Limited (“Shanghai LA GO GO”), Jiangsu LA GO Fashion Company Limited (“Jiangsu LA GO GO”), Tianjin LA GO Fashion Company Limited (“Tianjin LA GO GO”), Shanghai Ya Lan Fashion Company Limited (“Ya Lan”), Shanghai Yiduo Fashion Company Limited (“Shanghai Yiduo”) and Xizang He Meida Trading Company Limited (“He Meida”). In March 2019, the Company incorporated Haian Tai Xin Garments Trading Company Limited (“Haian Tai Xin”) and it is the Company’s wholly-owned PRC subsidiaries. Haian Tai Xin is engaged in the business of garments manufacturing. In the opinion of management, the accompanying unaudited condensed consolidated financial statements of the Company and its subsidiaries contain all adjustments, consisting of normal recurring adjustments, considered necessary for a fair presentation of the condensed consolidated balance sheet as of March 31, 2019, the condensed consolidated statements of income (loss) and comprehensive income, condensed consolidated statements of equity, and cash flows for the three months ended March 31, 2019 and 2018. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and the instructions to Rule 8-03 of Regulation S-X of the Securities and Exchange Commission (the “SEC”). Accordingly, they have been condensed and do not include all of the information and footnotes required by GAAP for complete financial statements. Wholesale revenues are generally higher in the third and fourth fiscal quarters, while retail revenues are generally higher in the first and fourth fiscal quarters. The results of operations for the three months ended March 31, 2019 are not necessarily indicative of the results of operations to be expected for the full fiscal year. These financial statements should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2018.

Significant Accounting Policies

Significant Accounting Policies	3 Months Ended
	Mar. 31, 2019
Accounting Policies [Abstract]
SIGNIFICANT ACCOUNTING POLICIES	NOTE 2 SIGNIFICANT ACCOUNTING POLICIES Revenue Recognition We recognize wholesale revenue from product sales, net of value-added taxes, upon delivery for local sales and upon shipment of the products for export sales, at such time title passes to the customer. We recognize wholesale revenue from manufacturing fees charged to buyers for the assembly of garments from materials provided by the buyers upon completion of the manufacturing process and shipment of the products for export sales. Retail sales are recorded net of promotional discounts, rebates, and return allowances. Retail store sales are recognized at the time of the register receipt. Retail online sales are recognized when products are shipped and customers receive the products because we retain a portion of the risk of loss on these sales during transit. Our revenue recognition policy is in compliance with ASC 606, Revenue from Contracts with Customers (i) identification of the promised goods and services in the contract; (ii) determination of whether the promised goods and services are performance obligations, including whether they are distinct in the context of the contract; (iii) measurement of the transaction price, including the constraint on variable consideration; (iv) allocation of the transaction price to the performance obligations; and (v) recognition of revenue when (or as) the Company satisfies each performance obligation. We only apply the five-step model to contracts when it is probable that we will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. Once a contract is determined to be within the scope of ASC 606 at contract inception, we review the contract to determine which performance obligations we must deliver and which of these performance obligations are distinct. We recognize as revenues the amount of the transaction price that is allocated to the respective performance obligation when the performance obligation is satisfied or as it is satisfied. Generally, our performance obligations are transferred to customers at a point in time, typically upon delivery for local sales and upon shipment of the products for export sale. For all reporting periods, we have not disclosed the value of unsatisfied performance obligations for all product revenue contracts with an original expected length of one year or less, which is an optional exemption that is permitted under the adopted rules. Derivatives financial instruments From time to time, the Company uses derivative financial instruments to manage its exposure to foreign currency risks arising from operational activities or on certain existing assets and liabilities. The Company does not hold or issue derivative instruments for trading purposes. The Company may enter into forward foreign exchange contracts, foreign exchange options, or foreign exchange currency swap contracts to manage exposure to certain foreign currency operating transactions. These instruments may offset a portion of the foreign currency re-measurement gains or losses, or changes in fair value. The Company may also enter into above similar derivative instruments to hedge the exposure to variability in the expected cash flows of forecasted transactions such as international sales or purchases that the Company expects to receive or commit to remit foreign currencies. In these cases, the Company designates these instruments as the cash flow hedges. Derivative financial instruments are recognized initially at fair value and transaction costs are expensed immediately. Subsequent to initial recognition, derivative financial instruments are stated at fair value. The gain or loss on re-measurement to fair value is recognized immediately in earnings when such instruments are designated as fair value hedges or ineffective portion of cash flow hedges. The accumulated gain or loss from effective portions of cash flow hedges are recorded in accumulated other comprehensive income/(loss) ("AOCI") until the hedged item is recognized in earnings. If the hedging instrument no longer meets the criteria for hedge accounting, expires or is sold, terminated or exercised, then hedge accounting is discontinued prospectively. Accounts Receivable, net The Company extends unsecured credit to its customers in the ordinary course of business but mitigates the associated risks by performing credit checks and actively pursuing past due accounts. An allowance for doubtful accounts is established and recorded based on management's assessment of the credit history of its customers and current relationships with them. The Company writes off accounts receivable when amounts are deemed uncollectible. There was no bad debt expense for the three months period ended March 31, 2019 and 2018. Fair Value Accounting Accounting Standards Codification ("ASC") 820 " Fair Value Measurements and Disclosures Level 1 Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; Level 2 Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; Level 3 Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). The fair value of forward exchange contracts is based on broker quotes, if available. If broker quotes are not available, then fair value is estimated by discounting the difference between the contractual forward price and the current forward price at the reporting date for the residual maturity of the contract using a risk-free interest rate based on government bonds. At March 31, 2019 and 2018, the Company's financial assets (all Level 1) consist of cash placed with financial institutions that management considers to be of a high quality. Management has estimated that the carrying amounts of non-related party financial instruments approximate their fair values due to their short-term maturities. The fair value of amounts due from (to) related parties is not practicable to estimate due to the related party nature of the underlying transactions. During 2018, the Company had entered into four foreign currency swap contracts with three banks. These contracts were expired and there is no derivative asset or liability as of March 31, 2019. The fair value of foreign currency swap contracts is determined by the variation of measurement date foreign exchange market rates and contract closing date predetermined foreign exchange rates. The Company has adopted ASC 825-10 " Financial Instruments Foreign Currency Translation and Other Comprehensive Income The reporting currency of the Company is the U.S. dollar. The functional currency of Ever-Glory, Perfect Dream, Ever-Glory HK and Ever-Glory Supply Chain is the U.S. dollar. The functional currency of Goldenway, New Tailun, Catch-luck, Ever-Glory Apparel, Shanghai LA GO GO, Jiangsu LA GO GO, Tianjin LA GO GO, Shanghai Yiduo, Ya Lan, He Meida, Huirui, Taixin and Haian Taixin is the Chinese RMB. For subsidiaries whose functional currency is the RMB, all assets and liabilities were translated at the exchange rate at the balance sheet date; equity was translated at historical rates and items in the statement of comprehensive income were translated at the average rate for the period. Translation adjustments resulting from this process are included in accumulated other comprehensive income. The resulting translation gains and losses that arise from exchange rate fluctuations on transactions denominated in a currency other than the functional currency are included in the results of operations as incurred. Items in the cash flow statement are translated at the average exchange rate for the period. Recently Issued Accounting Pronouncements In February 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2016-02, Leases, a new standard on accounting for leases. Effective January 1, 2019, we adopted this standard. The ASU introduces a right-of-use ("ROU") model that requires a lease to record an ROU asset and lease liability on the balance sheet for all leases with terms longer than twelve months, as well as disclose key information regarding leasing arrangements. Adoption of this standard resulted in the recognition of right-of-use assets of $64.5 million and operating lease liabilities of $64.5 million. As of March 31, 2019, the adoption of this standard did not have a material impact on the Company's operating results or cash flows. In June 2016, the FASB issued ASU No. 2016-13 "Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments" In October 2018, the FASB issued ASU No. 2018-17 "Consolidation (Topic 810): Targeted Improvements to Related Party Guidance for Variable Interest Entities" The Company reviews new accounting standards as issued. Management has not identified any other new standards that it believes will have a significant impact on the Company's condensed consolidated financial statements.

Inventories

Inventories	3 Months Ended
	Mar. 31, 2019
Inventory Disclosure [Abstract]
INVENTORIES	NOTE 3 INVENTORIES Inventories at March 31, 2019 and December 31, 2018 consisted of the following: March 31, December 31, (In thousands of Raw materials $ 6,878 $ 6,805 Work-in-progress 7,351 3,308 Finished goods 40,806 55,816 Total inventories $ 55,035 $ 65,929

Bank Loans

Bank Loans	3 Months Ended
	Mar. 31, 2019
Debt Disclosure [Abstract]
BANK LOANS	NOTE 4 BANK LOANS Bank loans represent amounts due to various banks and are generally due on demand or within one year. These loans can be renewed with the banks. Short term bank loans consisted of the following as of March 31, 2019 and December 31, 2018. March 31, December 31, Bank (In thousands of Industrial and Commercial Bank of China $ 14,900 $ 14,540 Nanjing Bank 3,725 5,089 China Minsheng Bank 2,980 2,908 Bank of Communications 2,965 2,893 Shanghai Pudong Development Bank 2,678 2,613 China Everbright Bank 1,490 1,454 HSBC 101 - $ 28,839 $ 29,497 In December 2016, Goldenway entered into a line of credit agreement with Industrial and Commercial Bank of China, which allows the Company to borrow up to approximately $8.9 million (RMB60.0 million). These loans are collateralized by the Company’s property and equipment. As of March 31, 2019, Goldenway had borrowed $3.0 million (RMB 20.0 million) under this line of credit with an annual interest rate of 3.92% and due on November 2019. As of March 31, 2019, approximately $5.9 million was unused and available under this line of credit. In November 2018, Ever-Glory Apparel entered into a line of credit agreement for approximately $14.9 million (RMB100.0 million) with Industrial and Commercial Bank of China and collateralized by assets of Jiangsu Ever-Glory’s equity investee, Nanjing Knitting, under a collateral agreement executed among Ever-Glory Apparel, Nanjing Knitting and the bank. As of March 31, 2019, Ever-Glory Apparel had borrowed $11.8 million (RMB 80.0 million) under this line of credit with annual interest rates ranging from 4.57% to 4.70% and due on July 2019. As of March 31, 2019, approximately $3.0 million was unused and available under this line of credit. In August 2018, Goldenway entered into a line of credit agreement with Nanjing Bank, which allows the Company to borrow up to approximately $7.5 million (RMB50.0 million). These loans are guaranteed by Jiangsu Ever-Glory International Group Corp. (“Jiangsu Ever-Glory”), an entity controlled by Mr. Kang, the Company’s Chairman and Chief Executive Officer. These loans are also collateralized by the Company’s property and equipment. As of March 31, 2019, approximately $7.5 million was unused and available under this line of credit. In August 2018, Ever-Glory Apparel entered into a line of credit agreement for approximately $8.9 million (RMB60.0 million) with Nanjing Bank and guaranteed by Jiangsu Ever-Glory, Mr. Kang and Goldenway. As of March 31, 2019, Ever-Glory Apparel had borrowed $1.5 million (RMB10.0 million) from Nanjing Bank with an annual interest rates 4.41% and due on September 2019. As of March 31, 2019, approximately $7.4 million was unused and available under this line of credit. In May 2018, LA GO GO entered into a revolving line of credit agreement with Nanjing Bank, which allows the Company to borrow up to approximately $3.0 million (RMB20.0 million). The line of credit is guaranteed by Mr. Kang and Goldenway. As of March 31, 2019, LA GO GO had borrowed $2.2 million (RMB15.0 million) under this line of credit with an annual interest rate of 5.22% and due in June 2019. As of March 31, 2019, approximately $0.8 million was unused and available under this line of credit. In June 2018, LA GO GO entered into a line of credit agreement for approximately $3.0 million (RMB20.0 million) with China Minsheng Bank and guaranteed by Ever-Glory Apparel and Mr. Kang. As of March 31, 2019, LA GO GO had borrowed $3.0 million (RMB20.0 million) from China Minsheng Bank with an annual interest rate of 4.79% and due in June 2019. In November 2018, LA GO GO entered into a line of credit agreement for approximately $3.0 million (RMB20.0 million) with the Bank of Communications and guaranteed by Jiangsu Ever-Glory, Ever-Glory Apparel and Jiangsu LAGOGO. As of March 31, 2019, LA GO GO had borrowed $3.0 million (RMB20.0 million) from the Bank of Communications with an annual interest rate 4.57% and due on variable dates from November 2019 to January 2020. In July 2018, Ever-Glory Apparel entered into a line of credit agreement for approximately $3.0 million (RMB20.0 million) with the Shanghai Pudong Development Bank and guaranteed by Goldenway. As of March 31, 2019, Ever-Glory Apparel had borrowed $2.7 million (RMB18.0 million) from the Shanghai Pudong Development Bank with an annual interest rate 4.57% and due on date November 2019. As of March 31, 2019, approximately $0.3 million was unused and available under this line of credit. In March 2019, Ever-Glory Apparel entered into a line of credit agreement for approximately $7.2 million (RMB48.0 million) with China Everbright Bank and guaranteed by Goldenway and Mr. Kang. These loans are also collateralized by Jiangsu Ever-Glory’s property. As of March 31, 2019, Ever-Glory Apparel had borrowed $1.5 million (RMB10.0 million) from China Everbright Bank with an annual interest rate 4.57% and due on date April 2019. As of March 31, 2019, approximately $5.7 million was unused and available under this line of credit. In March 2019, Ever-Glory Apparel and Goldenway collectively entered into a secured banking facility agreement for a combined revolving import facility, letter of credit, invoice financing facilities and a credit line for treasury products of up to $2.5 million with the Nanjing Branch of HSBC (China) Company Limited (“HSBC”). This agreement is guaranteed by the Company and Mr. Kang. As of March 2019, Ever-Glory Apparel had collateralized by approximately $0.1 million of accounts receivable from our wholesale customers. These bank loans are to be repaid upon receipt of payments from customers. As of March 31, 2019, approximately $2.4 million was unused and available under this line of credit. All loans have been repaid before or at maturity date. Total interest expense on bank loans amounted to $0.4 million and $0.6 million for the three months ended March 31, 2019 and 2018, respectively.

Leases

Leases	3 Months Ended
	Mar. 31, 2019
Leases [Abstract]
Leases	NOTE 5 LEASES The adoption of the new lease guidance did not have a material impact on the Company's results of operations or liquidity, but resulted in the recognition of operating lease liabilities and operating lease right-of-use assets on its balance sheets. Right-of-use ("ROU") assets represent the right to use an underlying asset for the lease term, and lease liabilities represent the obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at the lease commencement date based on the estimated present value of lease payments over the lease term. The company has leases for land-use-rights, warehouses and logistics centers, flagship stores, and stores within shopping malls in the PRC, which are classified as operating leases. The leases include fixed and variable payments according to the sales generated from flagship stores and those stores with shopping malls. Options to extend or renew are recognized as part of the lease liabilities and recognized as right of use assets. There are no residual value guarantees and no restrictions or covenants imposed by the leases. In the three months ended March 31, 2019, the costs of the leases recognized in cost of revenues and general administrative expenses are $12.9 and $0.2 million, respectively. Cash paid for the operating leases including in the operating cash flows was $13.1 million. As of March 31, 2019, The Company has $64.5 million of right-of-use assets, $55.4 million in current operating lease liabilities and $9.1 million in non-current operating lease liabilities as of March 31, 2019. Significant assumptions and judgments made as part of the adoption of this new lease standard include determining (i) whether a contract contains a lease, (ii) whether a contract involves an identified asset, and (iii) which party to the contract directs the use of the asset. The discount rates used to calculate the present value of lease payments were determined based on hypothetical borrowing rates available to Registrant over terms similar to the lease terms.

Income Tax

Income Tax	3 Months Ended
	Mar. 31, 2019
Income Tax Disclosure [Abstract]
INCOME TAX	NOTE 6 INCOME TAX The Company’s operating subsidiaries are governed by the Income Tax Law of the PRC concerning Foreign Investment Enterprises and Foreign Enterprises and various local income tax laws (“the Income Tax Laws”). All PRC subsidiaries, except for He Meida, are subject to income tax at the 25% statutory rate. He Meida incorporated in Xizang (Tibet) Autonomous Region is subject to income tax at 15% statutory rate. The local government has implemented an income tax reduction from 15% to 9% valid through December 31, 2019. Perfect Dream was incorporated in the British Virgin Islands (BVI), and under the current laws of the BVI dividends and capital gains arising from the Company’s investments in the BVI are not subject to income taxes. Ever-Glory HK was incorporated in Samoa, and under the current laws of Samoa has no liabilities for income taxes. Ever-Glory Supply Chain Service Co., Limited was incorporated in Hongkong, and under the current laws of Hongkong, are subject to income tax at the 16.5% statutory rate. The PRC’s Enterprise Income Tax Law imposes a 10% withholding income tax for dividends distributed by a foreign invested enterprise in PRC to its immediate holding company outside China; such distributions were exempted under the previous income tax law and regulations. A lower withholding tax rate will be applied if there is a tax treaty arrangement between mainland China and the jurisdiction of the foreign holding company. The foreign invested enterprise became subject to the withholding tax starting from January 1, 2008. Given that the undistributed profits of the Company’s subsidiaries in China are intended to be retained in China for business development and expansion purposes, no withholding tax accrual has been made. After the tax liability adjustment resulted from the reevaluation of the Company’s tax position (resulting in the company allocating substantially all of the earnings of the Samoan subsidiary to the PRC and reporting such earnings as taxable in the PRC), pre-tax income for the three months ended March 31, 2019 and 2018 was taxable in the following jurisdictions: 2019 2018 (In thousands of U.S. Dollars) PRC $ 389 $ 1,349 BVI (2 ) (3 ) Others (5 ) (2 ) $ 382 $ 1,344 The following table reconciles the PRC statutory rates to the Company’s effective tax rate for the three months ended March 31, 2019 and 2018: 2019 2018 PRC statutory rate 25.0 % 25.0 % Net operating losses for which no deferred tax assets was recognized 198 31.3 Effective income tax rate 223.0 % 56.3 % Income tax expense for the three months ended March 31, 2019 and 2018 is as follows: 2019 2018 (In thousands of Current $ 495 $ 925 Deferred 330 (168 ) Income tax expense $ 825 $ 757 The Company’s deferred tax liabilities arise from differences between US GAAP and PRC tax accounting for certain revenue and expense items, including timing of deduction of losses from allowances. The Company has not recorded U.S. deferred income taxes on approximately $105.0 million of its non-U.S. subsidiaries’ undistributed earnings because such amounts are intended to be reinvested outside the United States indefinitely. The U.S. Tax Reform signed into law on December 22, 2017 significantly modified the U.S. Internal Revenue Code by, among other things, reducing the statutory U.S. federal corporate income tax rate from 35% to 21% for taxable years beginning after December 31, 2017; limiting and/or eliminating many business deductions; migrating the U.S. to a territorial tax system with a one-time transition tax on a mandatory deemed repatriation of previously deferred foreign earnings of certain foreign subsidiaries; subject to certain limitations, generally eliminating U.S. corporate income tax on dividends from foreign subsidiaries; and providing for new taxes on certain foreign earnings. The Company measured the current and deferred taxes based on the provisions of the Tax legislation. After the Company’s measurement, no deferred tax expense (income) relating to the Tax Act changes for the three months ended March 31, 2019.

Earnings Per Share

Earnings Per Share	3 Months Ended
	Mar. 31, 2019
Earnings Per Share [Abstract]
EARNINGS PER SHARE	NOTE 7 EARNINGS PER SHARE The following demonstrates the calculation for earnings per share for the three months ended March 31, 2019 and 2018: 2019 2018 Weighted average number of common shares- Basic and diluted 14,800,140 14,795,992 Earnings (loss) per share - basic and diluted $ (0.04 ) $ 0.06

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Mar. 31, 2019
Equity [Abstract]
STOCKHOLDERS' EQUITY	NOTE 8 STOCKHOLDERS’ EQUITY On July 26, 2018, the Company issued 2,206 shares of Company’s common stock to two of the Company’s independent directors as compensation for their services rendered during the fourth quarter of 2017, and the first and second quarters of 2018 as directors. The shares issued in 2018 were valued at $3.39 per share, which was the average market price of the common stock for the five days before the grant date. On January 31, 2019, the Company issued 1,942 shares of Company’s common stock to two of the Company’s independent directors as compensation for their services rendered during the third and fourth quarter of 2018. The shares issued in 2019 were valued at $3.8 per share, which was the average market price of the common stock for the five days before the grant date.

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2019
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	NOTE 9 RELATED PARTY TRANSACTIONS Mr. Kang is the Company's Chairman and Chief Executive Officer. Ever-Glory Enterprises (HK) Ltd. (Ever-Glory Enterprises) is the Company's major shareholder. Mr. Xiaodong Yan was Ever-Glory Enterprises' sole shareholder and sole director. Mr. Huake Kang, Mr. Kang's son, acquired 83% interest of Ever-Glory Enterprises and became its sole director in 2014. All transactions associated with the following companies controlled by Mr. Kang or his son are considered to be related party transactions, and it is possible that the terms of these transactions may not be the same as those that would result from transactions between unrelated parties. All related party outstanding balances are short-term in nature and are expected to be settled in cash. Other income from Related Parties JiangsuWubijia Trading Company Limited ("Wubijia") is an entity engaged in high-grade home goods sales and is controlled by Mr. Kang. Wubijia has sold their home goods on consignment in certain Company's retail stores since the third quarter of 2014. During the three months ended March 31, 2019 and 2018, the Company received $31,479 and $33,622 from the customers and paid $25,838 and $19,188 to Wubijia through the consignment, respectively. The net profit of $5,641 and $14,435 was recorded as other income during the three months ended March 31, 2019 and 2018, respectively. Other expenses due to Related Parties Included in other expenses for the three months ended March 31, 2019 and 2018 are rent costs due to entities controlled by Mr. Kang under operating lease agreements as follows: 2019 2018 (In thousands of Chuzhou Huarui 53 58 Kunshan Enjin 22 13 Total $ 75 $ 71 The Company leases Chuzhou Huarui and Kunshan Enjin's warehouse spaces because the locations are convenient for transportation and distribution. Purchases from and Sub-contracts with Related Parties The Company purchased raw materials from Nanjing Knitting totaling $0.20 million and $0.33 million during the three months ended March 31, 2019 and 2018, respectively. In addition, the Company sub-contracted certain manufacturing work to related companies totaling $5.1 million and $3.7 million for the three months ended March 31, 2019 and 2018, respectively. The Company provided raw materials to the sub-contractors and charged a fixed fee for labor provided by the sub-contractors. Sub-contracts with related parties included in cost of sales for the three months ended March 31, 2019 and 2018 are as follows: 2019 2018 (In thousands of Ever-Glory Vietnam $ 2,579 $ 1,914 Chuzhou Huarui 1,507 867 Fengyang Huarui 106 484 Nanjing Ever-Kyowa 347 349 EsC'eLav 88 - Jiangsu Ever-Glory 425 45 Total $ 5,052 $ 3,659 Accounts Payable – Related Parties The accounts payable to related parties at March 31, 2019 and December 31, 2018 are as follows: 2019 2018 (In thousands of Ever-Glory Vietnam $ 1,519 1,863 Fengyang Huarui 223 622 Nanjing Ever-Kyowa 593 580 Chuzhou Huarui 671 888 Nanjing Knitting 144 171 Jiangsu Ever-Glory 890 632 Total $ 4,040 $ 4,756 Amounts Due From Related Parties-current assets The amounts due from related parties at March 31, 2019 and December 31, 2018 are as follows: 2019 2018 (In thousands of Jiangsu Ever-Glory $ 63 $ 122 Esc'elav 12 70 Total $ 75 $ 192 Jiangsu Ever-Glory is an entity engaged in importing/exporting, apparel-manufacture, real-estate development, car sales and other activities. Jiangsu Ever-Glory is controlled by Mr. Kang. During three months ended March 31, 2019 and 2018, the Company and Jiangsu Ever-Glory purchased raw materials on behalf of each other in order to obtain cheaper purchase prices. The Company purchased raw materials on Jiangsu Ever-Glory's behalf and sold to Jiangsu Ever-Glory at cost for $0 and $0.3 million during the three month period ended March 31, 2019 and 2018, respectively. Jiangsu Ever-Glory purchased raw materials on the Company's behalf and sold to the Company at cost for $424,675 and $22,235 during the three months ended March 31, 2019 and 2018, respectively. Amounts Due From Related Party under Counter Guarantee Agreement In March 2012, in consideration of the guarantees and collateral provided by Jiangsu Ever-Glory and Nanjing Knitting, the Company agreed to provide Jiangsu Ever-Glory a counter guarantee in the form of cash of not less than 70% of the maximum aggregate lines of credit obtained by the Company. Jiangsu Ever-Glory is obligated to return the full amount of the counter-guarantee funds provided upon expiration or termination of the underlying lines of credit and is to pay annual interest at the rate of 6.0% of amounts provided. As of March 31, 2019 and December 31, 2018, Jiangsu Ever-Glory has provided guarantees for approximately $41.4 million (RMB 278 million) and $33.4 million (RMB 230.0 million) of lines of credit obtained by the Company, respectively. Jiangsu Ever-Glory and Nanjing Knitting have also provided their assets as collateral for certain of these lines of credit. The value of the collateral, as per appraisals obtained by the banks in connection with these lines of credit is approximately $30.6 million (RMB 205.5 million) and $29.9 million (RMB 205.5 million) as of March 31, 2019 and December 31, 2018, respectively. Mr. Kang has also provided a personal guarantee for $24.6 million (RMB 164.8 million) and $14.5 million (RMB 100.0 million) as of March 31, 2019 and December 31, 2018, respectively. At December 31, 2018, $9.9 million (RMB 68.2 million) was outstanding due from Jiangsu Ever-Glory under the counter guarantee agreement. During the three months ended March 31, 2019, an additional $2.1 million (RMB 14.0 million) was provided to and repayment of $3.5 million (RMB23.5 million) was received from Jiangsu Ever-Glory under the counter-guarantee. As of March 31, 2019, the amount of the counter-guarantee was $8.7 million (RMB 58.7 million) (the difference represents currency exchange adjustment of $0.2 million), which was 21.1% of the aggregate amount of lines of credit. This amount plus accrued interest of $0.5 million have been classified as a reduction of equity, consistent with the guidance of SEC Staff Accounting Bulletins 4E and 4G. At March 31, 2019 and December 31, 2018, the amount classified as a reduction of equity was $9.3 million and $10.4 million, respectively. Interest of 0.5% is charged on net amounts due from Jiangsu Ever-Glory at each month end. Since April 1, 2015, interest rate has changed to 0.41% as the bank benchmark interest rate decreased. Since January 1, 2019, interest rate has changed to 0.3625% as the bank benchmark interest rate decreased. Interest income for the three months ended March 31, 2019 and 2018 was approximately $0.1 million and $0.2 million, respectively.

Concentrations and Risks

Concentrations and Risks	3 Months Ended
	Mar. 31, 2019
Risks and Uncertainties [Abstract]
CONCENTRATIONS AND RISKS	NOTE 10 CONCENTRATIONS AND RISKS The Company extends unsecured credit to its customers in the normal course of business and generally does not require collateral. As a result, management performs ongoing credit evaluations, and the Company maintains an allowance for potential credit losses based upon its loss history and its aging analysis. Based on management’s assessment of the amount of probable credit losses, if any, in existing accounts receivable, the allowance for doubtful accounts at March 31, 2019 and December 31, 2018 was $4.5 million and $5.9 million, respectively. Management reviews the allowance for doubtful accounts each reporting period based on a detailed analysis of accounts receivable. In the analysis, management primarily considers the age of the customer’s receivable and also considers the credit worthiness of the customer, the economic conditions of the customer’s industry, and general economic conditions and trends, among other factors. If any of these factors change, the Company may also change its original estimates, which could impact the level of the Company’s future allowance for doubtful accounts. If judgments regarding the collectability of accounts receivables are incorrect, adjustments to the allowance may be required, which would reduce profitability. For the three-month period ended March 31, 2019, the Company had two wholesale customers that represented approximately 26% and 11% of the Company’s revenues. For the three-month period ended March 31, 2018, the Company had one wholesale customer that represented approximately 18% of the Company’s revenues. For the wholesale business, the Company did not rely on any raw material supplier that represented more than 10% of the total raw material purchases during the three months ended March 31, 2019 and 2018. For the retail business, the Company relied on three raw material suppliers that represented approximately 36%, 35% and 23% of raw material purchases during the three months ended March 31, 2019. For the retail business, the Company relied on two raw material suppliers that represented approximately 30% and 23% of raw material purchases during the three months ended March 31, 2018. For the wholesale business, during the three months ended March 31, 2019, the Company relied on two manufacturers that represented 11% and 10% of finished goods purchases, and during the three months ended March 31, 2018, the Company relied on one manufacturer that represented 14% of finished goods purchases. For the retail business, the Company did not rely on any supplier that represented more than 10% of the total finished goods purchases during the three months ended March 31, 2019 and 2018. The Company’s revenues for the three months ended March 31, 2019 and 2018 were earned in the following geographic areas: 2019 2018 (In thousands of Mainland China $ 10,754 $ 4,211 Hong Kong China 1,253 5,138 Germany 850 1,866 United Kingdom 800 2,218 Europe-Other 5,229 4,453 Japan 4,938 2,436 United States 4,278 4,934 Total wholesale business 28,102 25,256 Retail business 59,854 67,529 Total $ 87,956 $ 92,785

Segments

Segments	3 Months Ended
	Mar. 31, 2019
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract]
SEGMENTS	NOTE 11 SEGMENTS The Company reports financial and operating information in the following two segments: (a) Wholesale segment (b) Retail segment Wholesale Retail Total (In thousands of U.S. Dollars) As of and for the period ended March 31, 2019 Segment profit or loss: Net revenue from external customers $ 28,102 59,854 87,956 Income from operations $ 769 52 821 Interest income $ 199 8 207 Interest expense $ 262 101 363 Depreciation and amortization $ 290 1,935 2,225 Income tax expense $ 219 606 825 Segment assets: Additions to property, plant and equipment 367 1,764 2,131 Total assets 78,419 204,573 282,992 As of and for the period ended March 31, 2018 Segment profit or loss: Net revenue from external customers $ 25,256 67,529 92,785 Income from operations $ 1,096 350 1,446 Interest income $ 309 17 326 Interest expense $ 490 74 564 Depreciation and amortization $ 305 2,232 2,537 Income tax expense $ 234 523 757 Segment assets: Additions to property, plant and equipment 482 2,070 2,552 Total assets 86,526 134,988 221,514

Subsequent Events

Subsequent Events	3 Months Ended
	Mar. 31, 2019
Subsequent Events [Abstract]
Subsequent Events	NOTE 12 SUBSEQUENT EVENTS As of May 14, 2019, there is no material subsequent event to be disclosed.

Significant Accounting Polici_2

Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2019
Accounting Policies [Abstract]
Revenue Recognition	Revenue Recognition We recognize wholesale revenue from product sales, net of value-added taxes, upon delivery for local sales and upon shipment of the products for export sales, at such time title passes to the customer. We recognize wholesale revenue from manufacturing fees charged to buyers for the assembly of garments from materials provided by the buyers upon completion of the manufacturing process and shipment of the products for export sales. Retail sales are recorded net of promotional discounts, rebates, and return allowances. Retail store sales are recognized at the time of the register receipt. Retail online sales are recognized when products are shipped and customers receive the products because we retain a portion of the risk of loss on these sales during transit. Our revenue recognition policy is in compliance with ASC 606, Revenue from Contracts with Customers (i) identification of the promised goods and services in the contract; (ii) determination of whether the promised goods and services are performance obligations, including whether they are distinct in the context of the contract; (iii) measurement of the transaction price, including the constraint on variable consideration; (iv) allocation of the transaction price to the performance obligations; and (v) recognition of revenue when (or as) the Company satisfies each performance obligation. We only apply the five-step model to contracts when it is probable that we will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. Once a contract is determined to be within the scope of ASC 606 at contract inception, we review the contract to determine which performance obligations we must deliver and which of these performance obligations are distinct. We recognize as revenues the amount of the transaction price that is allocated to the respective performance obligation when the performance obligation is satisfied or as it is satisfied. Generally, our performance obligations are transferred to customers at a point in time, typically upon delivery for local sales and upon shipment of the products for export sale. For all reporting periods, we have not disclosed the value of unsatisfied performance obligations for all product revenue contracts with an original expected length of one year or less, which is an optional exemption that is permitted under the adopted rules.
Derivatives financial instruments	Derivatives financial instruments From time to time, the Company uses derivative financial instruments to manage its exposure to foreign currency risks arising from operational activities or on certain existing assets and liabilities. The Company does not hold or issue derivative instruments for trading purposes. The Company may enter into forward foreign exchange contracts, foreign exchange options, or foreign exchange currency swap contracts to manage exposure to certain foreign currency operating transactions. These instruments may offset a portion of the foreign currency re-measurement gains or losses, or changes in fair value. The Company may also enter into above similar derivative instruments to hedge the exposure to variability in the expected cash flows of forecasted transactions such as international sales or purchases that the Company expects to receive or commit to remit foreign currencies. In these cases, the Company designates these instruments as the cash flow hedges. Derivative financial instruments are recognized initially at fair value and transaction costs are expensed immediately. Subsequent to initial recognition, derivative financial instruments are stated at fair value. The gain or loss on re-measurement to fair value is recognized immediately in earnings when such instruments are designated as fair value hedges or ineffective portion of cash flow hedges. The accumulated gain or loss from effective portions of cash flow hedges are recorded in accumulated other comprehensive income/(loss) (“AOCI”) until the hedged item is recognized in earnings. If the hedging instrument no longer meets the criteria for hedge accounting, expires or is sold, terminated or exercised, then hedge accounting is discontinued prospectively.
Accounts Receivable, net	Accounts Receivable, net The Company extends unsecured credit to its customers in the ordinary course of business but mitigates the associated risks by performing credit checks and actively pursuing past due accounts. An allowance for doubtful accounts is established and recorded based on management’s assessment of the credit history of its customers and current relationships with them. The Company writes off accounts receivable when amounts are deemed uncollectible. There was no bad debt expense for the three months period ended March 31, 2019 and 2018.
Fair Value Accounting	Fair Value Accounting Accounting Standards Codification (“ASC”) 820 “ Fair Value Measurements and Disclosures Level 1 Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; Level 2 Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; Level 3 Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). The fair value of forward exchange contracts is based on broker quotes, if available. If broker quotes are not available, then fair value is estimated by discounting the difference between the contractual forward price and the current forward price at the reporting date for the residual maturity of the contract using a risk-free interest rate based on government bonds. At March 31, 2019 and 2018, the Company’s financial assets (all Level 1) consist of cash placed with financial institutions that management considers to be of a high quality. Management has estimated that the carrying amounts of non-related party financial instruments approximate their fair values due to their short-term maturities. The fair value of amounts due from (to) related parties is not practicable to estimate due to the related party nature of the underlying transactions. During 2018, the Company had entered into four foreign currency swap contracts with three banks. These contracts were expired and there is no derivative asset or liability as of March 31, 2019. The fair value of foreign currency swap contracts is determined by the variation of measurement date foreign exchange market rates and contract closing date predetermined foreign exchange rates. The Company has adopted ASC 825-10 “ Financial Instruments
Foreign Currency Translation and Other Comprehensive Income	Foreign Currency Translation and Other Comprehensive Income The reporting currency of the Company is the U.S. dollar. The functional currency of Ever-Glory, Perfect Dream, Ever-Glory HK and Ever-Glory Supply Chain is the U.S. dollar. The functional currency of Goldenway, New Tailun, Catch-luck, Ever-Glory Apparel, Shanghai LA GO GO, Jiangsu LA GO GO, Tianjin LA GO GO, Shanghai Yiduo, Ya Lan, He Meida, Huirui, Taixin and Haian Taixin is the Chinese RMB. For subsidiaries whose functional currency is the RMB, all assets and liabilities were translated at the exchange rate at the balance sheet date; equity was translated at historical rates and items in the statement of comprehensive income were translated at the average rate for the period. Translation adjustments resulting from this process are included in accumulated other comprehensive income. The resulting translation gains and losses that arise from exchange rate fluctuations on transactions denominated in a currency other than the functional currency are included in the results of operations as incurred. Items in the cash flow statement are translated at the average exchange rate for the period.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements In February 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2016-02, Leases, a new standard on accounting for leases. Effective January 1, 2019, we adopted this standard. The ASU introduces a right-of-use ("ROU") model that requires a lease to record an ROU asset and lease liability on the balance sheet for all leases with terms longer than twelve months, as well as disclose key information regarding leasing arrangements. Adoption of this standard resulted in the recognition of right-of-use assets of $64.5 million and operating lease liabilities of $64.5 million. As of March 31, 2019, the adoption of this standard did not have a material impact on the Company's operating results or cash flows. In June 2016, the FASB issued ASU No. 2016-13 "Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments" In October 2018, the FASB issued ASU No. 2018-17 "Consolidation (Topic 810): Targeted Improvements to Related Party Guidance for Variable Interest Entities" The Company reviews new accounting standards as issued. Management has not identified any other new standards that it believes will have a significant impact on the Company's condensed consolidated financial statements.

Inventories (Tables)

Inventories (Tables)	3 Months Ended
	Mar. 31, 2019
Inventory Disclosure [Abstract]
Schedule of inventories	March 31, December 31, (In thousands of Raw materials $ 6,878 $ 6,805 Work-in-progress 7,351 3,308 Finished goods 40,806 55,816 Total inventories $ 55,035 $ 65,929

Bank Loans (Tables)

Bank Loans (Tables)	3 Months Ended
	Mar. 31, 2019
Debt Disclosure [Abstract]
Schedule of short-term bank loans	March 31, December 31, Bank (In thousands of Industrial and Commercial Bank of China $ 14,900 $ 14,540 Nanjing Bank 3,725 5,089 China Minsheng Bank 2,980 2,908 Bank of Communications 2,965 2,893 Shanghai Pudong Development Bank 2,678 2,613 China Everbright Bank 1,490 1,454 HSBC 101 - $ 28,839 $ 29,497

Income Tax (Tables)

Income Tax (Tables)	3 Months Ended
	Mar. 31, 2019
Income Tax Disclosure [Abstract]
Summary of pre-tax income in jurisdictions	2019 2018 (In thousands of U.S. Dollars) PRC $ 389 $ 1,349 BVI (2 ) (3 ) Others (5 ) (2 ) $ 382 $ 1,344
Summary of reconciliation of PRC statutory rates to the Company's effective tax rate	2019 2018 PRC statutory rate 25.0 % 25.0 % Net operating losses for which no deferred tax assets was recognized 198 31.3 Effective income tax rate 223.0 % 56.3 %
Schedule of income tax expense	2019 2018 (In thousands of Current $ 495 $ 925 Deferred 330 (168 ) Income tax expense $ 825 $ 757

Earnings Per Share (Tables)

Earnings Per Share (Tables)	3 Months Ended
	Mar. 31, 2019
Earnings Per Share [Abstract]
Schedule of basic and diluted earnings per share	2019 2018 Weighted average number of common shares- Basic and diluted 14,800,140 14,795,992 Earnings (loss) per share - basic and diluted $ (0.04 ) $ 0.06

Related Party Transactions (Tab

Related Party Transactions (Tables)	3 Months Ended
	Mar. 31, 2019
Related Party Transactions [Abstract]
Summary of other expenses due to related parties	2019 2018 (In thousands of Chuzhou Huarui 53 58 Kunshan Enjin 22 13 Total $ 75 $ 71
Summary of sub-contracts with related parties	2019 2018 (In thousands of Ever-Glory Vietnam $ 2,579 $ 1,914 Chuzhou Huarui 1,507 867 Fengyang Huarui 106 484 Nanjing Ever-Kyowa 347 349 EsC’eLav 88 - Jiangsu Ever-Glory 425 45 Total $ 5,052 $ 3,659
Summary of accounts payable to related parties	2019 2018 (In thousands of Ever-Glory Vietnam $ 1,519 1,863 Fengyang Huarui 223 622 Nanjing Ever-Kyowa 593 580 Chuzhou Huarui 671 888 Nanjing Knitting 144 171 Jiangsu Ever-Glory 890 632 Total $ 4,040 $ 4,756
Summary of amounts due from related party current assets	2019 2018 (In thousands of Jiangsu Ever-Glory $ 63 $ 122 Esc’elav 12 70 Total $ 75 $ 192

Concentrations and Risks (Table

Concentrations and Risks (Tables)	3 Months Ended
	Mar. 31, 2019
Risks and Uncertainties [Abstract]
Schedule of Company's revenues as per geographic areas	2019 2018 (In thousands of Mainland China $ 10,754 $ 4,211 Hong Kong China 1,253 5,138 Germany 850 1,866 United Kingdom 800 2,218 Europe-Other 5,229 4,453 Japan 4,938 2,436 United States 4,278 4,934 Total wholesale business 28,102 25,256 Retail business 59,854 67,529 Total $ 87,956 $ 92,785

Segments (Tables)

Segments (Tables)	3 Months Ended
	Mar. 31, 2019
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract]
Summary of financial and operating information	Wholesale Retail Total (In thousands of U.S. Dollars) As of and for the period ended March 31, 2019 Segment profit or loss: Net revenue from external customers $ 28,102 59,854 87,956 Income from operations $ 769 52 821 Interest income $ 199 8 207 Interest expense $ 262 101 363 Depreciation and amortization $ 290 1,935 2,225 Income tax expense $ 219 606 825 Segment assets: Additions to property, plant and equipment 367 1,764 2,131 Total assets 78,419 204,573 282,992 As of and for the period ended March 31, 2018 Segment profit or loss: Net revenue from external customers $ 25,256 67,529 92,785 Income from operations $ 1,096 350 1,446 Interest income $ 309 17 326 Interest expense $ 490 74 564 Depreciation and amortization $ 305 2,232 2,537 Income tax expense $ 234 523 757 Segment assets: Additions to property, plant and equipment 482 2,070 2,552 Total assets 86,526 134,988 221,514

Significant Accounting Polici_3

Significant Accounting Policies (Details Textual) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Significant Accounting Policies (Textual)
Right-of-use assets	$ 64,549
Current operating lease liabilities	55,434
Non-current operating lease liabilities	$ 9,127

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Schedule of inventories
Raw materials	$ 6,878	$ 6,805
Work-in-progress	7,351	3,308
Finished goods	40,806	55,816
Total inventories	$ 55,035	$ 65,929

Bank Loans (Details)

Bank Loans (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Schedule of short term bank loans
Bank loans	$ 28,839	$ 29,497
Industrial and Commercial Bank of China [Member]
Schedule of short term bank loans
Bank loans	14,900	14,540
Nanjing Bank [Member]
Schedule of short term bank loans
Bank loans	3,725	5,089
China Minsheng Bank [Member]
Schedule of short term bank loans
Bank loans	2,980	2,908
Bank of Communications [Member]
Schedule of short term bank loans
Bank loans	2,965	2,893
Shanghai Pudong Development Bank [Member]
Schedule of short term bank loans
Bank loans	2,678	2,613
China Everbright Bank [Member]
Schedule of short term bank loans
Bank loans	1,490	1,454
HSBC [Member]
Schedule of short term bank loans
Bank loans	$ 101

Bank Loans (Details Textual)

Bank Loans (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Nov. 30, 2018	Sep. 30, 2018	Aug. 31, 2018	Jun. 30, 2018	May 31, 2018	Dec. 31, 2016
Bank Loans (Textual)
Line of credit annual interest rates	4.59%	4.92%
Interest expense on bank loans	$ 400	$ 600
Industrial and Commercial Bank Of China [Member] | Goldenway [Member]
Bank Loans (Textual)
Borrowed loans from related party	3,000
Industrial and Commercial Bank Of China [Member] | Goldenway [Member] | CNY [Member]
Bank Loans (Textual)
Borrowed loans from related party	20,000
Industrial and Commercial Bank Of China [Member] | Ever Glory Apparel [Member]
Bank Loans (Textual)
Line of credit agreement amount			$ 14,900
Unused line of credit	$ 3,000
Line of credit extended maturity date	Jul. 31, 2019
Borrowed loans from related party	$ 11,800
Industrial and Commercial Bank Of China [Member] | Ever Glory Apparel [Member] | CNY [Member]
Bank Loans (Textual)
Line of credit agreement amount			100,000
Borrowed loans from related party	$ 80,000
Industrial and Commercial Bank Of China [Member] | Ever Glory Apparel [Member] | Minimum [Member]
Bank Loans (Textual)
Line of credit annual interest rates	4.57%
Industrial and Commercial Bank Of China [Member] | Ever Glory Apparel [Member] | Maximum [Member]
Bank Loans (Textual)
Line of credit annual interest rates	4.70%
Nanjing Bank [Member] | Ever Glory Apparel [Member]
Bank Loans (Textual)
Line of credit agreement amount	$ 7,400				$ 8,900
Unused line of credit	$ 7,500
Line of credit extended maturity date	Sep. 30, 2019
Line of credit annual interest rates	4.41%
Borrowed loans from related party	$ 1,500
Nanjing Bank [Member] | Ever Glory Apparel [Member] | CNY [Member]
Bank Loans (Textual)
Line of credit agreement amount					60,000
Borrowed loans from related party	10,000
La Go Go [Member] | Ever Glory Apparel [Member]
Bank Loans (Textual)
Line of credit agreement amount			3,000				$ 3,000
Unused line of credit	$ 800
Line of credit extended maturity date	Jun. 30, 2019
Line of credit annual interest rates	5.22%
Borrowed loans from related party	$ 2,200
La Go Go [Member] | Ever Glory Apparel [Member] | CNY [Member]
Bank Loans (Textual)
Line of credit agreement amount			$ 20,000				$ 20,000
Borrowed loans from related party	$ 15,000
China Minsheng Banking [Member] | Ever Glory Apparel [Member]
Bank Loans (Textual)
Line of credit agreement amount						$ 3,000
Line of credit extended maturity date	Jun. 30, 2019
Line of credit annual interest rates	4.79%
Borrowed loans from related party	$ 3,000
China Minsheng Banking [Member] | Ever Glory Apparel [Member] | CNY [Member]
Bank Loans (Textual)
Line of credit agreement amount						$ 20,000
Borrowed loans from related party	$ 20,000
Goldenway [Member] | Ever Glory Apparel [Member]
Bank Loans (Textual)
Line of credit extended maturity date	Nov. 30, 2019
Line of credit annual interest rates	3.92%
Goldenway [Member] | Nanjing Bank [Member]
Bank Loans (Textual)
Line of credit agreement amount					7,500
Goldenway [Member] | Nanjing Bank [Member] | CNY [Member]
Bank Loans (Textual)
Line of credit agreement amount					$ 50,000
Bank Of China [Member] | Ever Glory Apparel [Member]
Bank Loans (Textual)
Line of credit agreement amount								$ 8,700
Unused line of credit	$ 5,900
Bank Of China [Member] | Ever Glory Apparel [Member] | CNY [Member]
Bank Loans (Textual)
Line of credit agreement amount								$ 60,000
Bank Of Communications [Member] | Nanjing Bank [Member]
Bank Loans (Textual)
Line of credit agreement amount	20,000
Unused line of credit	$ 300
Due date of revolving line of credit agreement	November 2019 to January 2020
Line of credit annual interest rates	4.57%
Borrowed loans from related party	$ 2,900
Bank Of Communications [Member] | Nanjing Bank [Member] | CNY [Member]
Bank Loans (Textual)
Borrowed loans from related party	18,000
China Everbright Bank [Member] | Ever Glory Apparel [Member]
Bank Loans (Textual)
Line of credit agreement amount	7,200
Unused line of credit	$ 5,700
Line of credit extended maturity date	Apr. 30, 2019
Line of credit annual interest rates	4.57%
Borrowed loans from related party	$ 1,500
China Everbright Bank [Member] | Ever Glory Apparel [Member] | CNY [Member]
Bank Loans (Textual)
Line of credit agreement amount	48,000
Borrowed loans from related party	10,000
Shanghai Pudong Development Bank [Member] | Ever Glory Apparel [Member]
Bank Loans (Textual)
Line of credit agreement amount	$ 3,000
Unused line of credit				$ 300
Line of credit extended maturity date	Nov. 30, 2019
Line of credit annual interest rates	4.57%
Borrowed loans from related party	$ 2,600
Shanghai Pudong Development Bank [Member] | Ever Glory Apparel [Member] | CNY [Member]
Bank Loans (Textual)
Line of credit agreement amount	20,000
Borrowed loans from related party	1,800
HSBC [Member]
Bank Loans (Textual)
Line of credit agreement amount	2,500
Unused line of credit	2,400
Accounts receivable from our wholesale customers	$ 100

Leases (Details Textual)

Leases (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Dec. 31, 2018
Leases [Abstract]
Right-of-use assets	$ 64,549
Current operating lease liabilities	55,434
Non-current operating lease liabilities	9,127
Operating lease payment	13,100
Leases recognized cost of revenues	12,900
General administrative expenses	$ 200

Income Tax (Details)

Income Tax (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Summary of Pre-tax income in jurisdictions
Pre-tax income	$ 370	$ 1,344
PRC [Member]
Summary of Pre-tax income in jurisdictions
Pre-tax income	389	1,349
BVI [Member]
Summary of Pre-tax income in jurisdictions
Pre-tax income	(2)	3
Others [Member]
Summary of Pre-tax income in jurisdictions
Pre-tax income	$ (5)	$ (2)

Income Tax (Details 1)

Income Tax (Details 1) - PRC [Member]	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Summary of reconciliation of PRC statutory rates to the company's effective tax rate
PRC statutory rate	25.00%	25.00%
Net operating losses for which no deferred tax assets was recognized	198.00%	31.30%
Effective income tax rate	223.00%	56.30%

Income Tax (Details 2)

Income Tax (Details 2) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Summary of income tax expense
Current	$ 495	$ 925
Deferred	(145)	(234)
Income tax expense	$ 825	$ 757

Income Tax (Details Textual)

Income Tax (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Minimum [Member]
Income Tax (Textual)
Effective income tax reduction, percent	9.00%
Maximum [Member]
Income Tax (Textual)
Effective income tax reduction, percent	15.00%
Xizang (Tibet) [Member]
Income Tax (Textual)
PRC statutory rate	15.00%
Subsidiaries [Member]
Income Tax (Textual)
U.S. deferred income taxes	$ 105,000
Income tax, description	The statutory U.S. federal corporate income tax rate from 35% to 21% for taxable years beginning after December 31, 2017
PRC [Member]
Income Tax (Textual)
PRC statutory rate	25.00%	25.00%
Income tax rate for dividends distribution	10.00%
HONG KONG
Income Tax (Textual)
PRC statutory rate	16.50%

Earnings Per Share (Details)

Earnings Per Share (Details) - $ / shares	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Basic and diluted earnings per share
Weighted average number of common shares- Basic and diluted	14,800,140	14,795,992
Earnings per share - basic and diluted	$ (0.04)	$ 0.06

Stockholders' Equity (Details)

Stockholders' Equity (Details) - Iindependent directors [Member] - $ / shares	1 Months Ended
	Jan. 31, 2019	Jul. 26, 2018
Stockholders' Equity (Textual)
Common stock shares issued to independent directors	1,942	2,206
Common stock issued at five days average market price	$ 3.8	$ 3.39
Number of days used to calculation average market price of common stock, description	Five days before the grant date.	Five days before the grant date.

Related Party Transactions (Det

Related Party Transactions (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Summary of other expenses due to related parties
Total	$ 75	$ 71
Chuzhou Huarui [Member]
Summary of other expenses due to related parties
Total	53	58
Kunshan Enjin [Member]
Summary of other expenses due to related parties
Total	$ 22	$ 13

Related Party Transactions (D_2

Related Party Transactions (Details 1) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Related Party Transaction [Line Items]
Total	$ 5,052	$ 3,659
Ever-Glory Vietnam [Member]
Related Party Transaction [Line Items]
Total	2,579	1,914
Chuzhou Huarui [Member]
Related Party Transaction [Line Items]
Total	1,507	867
Fengyang Huarui [Member]
Related Party Transaction [Line Items]
Total	106	484
Nanjing Ever-Kyowa [Member]
Related Party Transaction [Line Items]
Total	347	349
EsC’eLav [Member]
Related Party Transaction [Line Items]
Total	88
Jiangsu Ever Glory [Member]
Related Party Transaction [Line Items]
Total	$ 425	$ 45

Related Party Transactions (D_3

Related Party Transactions (Details 2) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Summary of accounts payable - related parties
Total	$ 4,040	$ 4,756
Ever-Glory Vietnam [Member]
Summary of accounts payable - related parties
Total	1,519	1,863
Fengyang Huarui [Member]
Summary of accounts payable - related parties
Total	223	622
Nanjing Ever-Kyowa [Member]
Summary of accounts payable - related parties
Total	593	580
Chuzhou Huarui [Member]
Summary of accounts payable - related parties
Total	671	888
Nanjing Knitting [Member]
Summary of accounts payable - related parties
Total	144	171
Jiangsu Ever-Glory [Member]
Summary of accounts payable - related parties
Total	$ 890	$ 632

Related Party Transactions (D_4

Related Party Transactions (Details 3) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Summary of amounts due from related parties
Total	$ 75	$ 192
Jiangsu Ever-Glory [Member]
Summary of amounts due from related parties
Total	63	122
Escelav [Member]
Summary of amounts due from related parties
Total	$ 12	$ 70

Related Party Transactions (D_5

Related Party Transactions (Details Textual) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Dec. 31, 2018
Related Party Transaction [Line Items]
Net profit (loss)	$ (521)	$ 815
Sub-contracts with related parties	5,052	3,659
Outstanding due from Jiangsu Ever-Glory	9,253		$ 10,354
Interest income	$ 100,000	200
Acquired interest	80.00%
Amounts due from related party under counter guarantee agreement, description	The amount of the counter-guarantee was $8.7 million (RMB 58.7 million) (the difference represents currency exchange adjustment of $0.2 million), which was 21.1% of the aggregate amount of lines of credit. This amount plus accrued interest of $0.5 million have been classified as a reduction of equity, consistent with the guidance of SEC Staff Accounting Bulletins 4E and 4G. At March 31, 2019 and December 31, 2018, the amount classified as a reduction of equity was $9.3 million and $10.4 million, respectively. Interest of 0.5% is charged on net amounts due from Jiangsu Ever-Glory at each month end. Since April 1, 2015, interest rate has changed to 0.41% as the bank benchmark interest rate decreased. Since January 1, 2019, interest rate has changed to 0.3625% as the bank benchmark interest rate decreased
CNY [Member]
Related Party Transaction [Line Items]
Outstanding due from Jiangsu Ever-Glory			68,200
JiangsuWubijia Trading Company Limited [Member]
Related Party Transaction [Line Items]
Company received amount from related party	$ 31,479	33,622
Amount paid through the consignment	25,838	19,188
Net profit (loss)	5,641	14,435
Nanjing Knitting [Member]
Related Party Transaction [Line Items]
Purchase of raw material	200	330
Sub-contracts with related parties	5,100	3,700
Lines of credit	33,400
Nanjing Knitting [Member] | CNY [Member]
Related Party Transaction [Line Items]
Lines of credit		230,000
Jiangsu Ever-Glory [Member]
Related Party Transaction [Line Items]
Purchase of raw material	0	300,000
Sub-contracts with related parties	425	45
Company sold raw materials	424,675	22,235
Lines of credit	41,400
Guarantee on lines of credit	30,600	29,900
Outstanding due from Jiangsu Ever-Glory	2,100
Repayment received under counter guarantee		$ 3,500
Jiangsu Ever-Glory [Member] | CNY [Member]
Related Party Transaction [Line Items]
Lines of credit			278,000
Guarantee on lines of credit	205,500		205,500
Outstanding due from Jiangsu Ever-Glory	14,000
Repayment received under counter guarantee			23,500
Mr. Kang [Member]
Related Party Transaction [Line Items]
Guarantee on lines of credit	24,600		14,500
Mr. Kang [Member] | CNY [Member]
Related Party Transaction [Line Items]
Guarantee on lines of credit	$ 164,800		$ 100,000

Concentrations and Risks (Detai

Concentrations and Risks (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Revenues earned in geographic areas
Revenues	$ 87,956	$ 92,785
Wholesale Business [Member]
Revenues earned in geographic areas
Revenues	28,102	25,256
Retail Business [Member]
Revenues earned in geographic areas
Revenues	59,854	67,529
Mainland China [Member]
Revenues earned in geographic areas
Revenues	10,754	4,211
Hong Kong China [Member]
Revenues earned in geographic areas
Revenues	1,253	5,138
Germany [Member]
Revenues earned in geographic areas
Revenues	850	1,866
United Kingdom
Revenues earned in geographic areas
Revenues	800	2,218
Europe Other [Member]
Revenues earned in geographic areas
Revenues	5,229	4,453
Japan [Member]
Revenues earned in geographic areas
Revenues	4,938	2,436
United States [Member]
Revenues earned in geographic areas
Revenues	$ 4,278	$ 4,934

Concentrations and Risks (Det_2

Concentrations and Risks (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Accounts Receivable [Member]
Concentrations and Risks (Textual)
Allowance for doubtful accounts	$ 4,500	$ 5,900
Retail Business [Member] | Finished Goods [Member]
Concentrations and Risks (Textual)
Concentration risk, percentage	10.00%	10.00%
Retail Business [Member] | Raw Material Suppliers One [Member]
Concentrations and Risks (Textual)
Concentration risk, percentage	36.00%	30.00%
Retail Business [Member] | Raw Material Supplier Two [Member]
Concentrations and Risks (Textual)
Concentration risk, percentage	35.00%	23.00%
Retail Business [Member] | Raw Material Supplier Three [Member]
Concentrations and Risks (Textual)
Concentration risk, percentage	23.00%
wholesale customers [Member] | Raw Materials [Member]
Concentrations and Risks (Textual)
Concentration risk, percentage	10.00%
wholesale customers [Member] | Manufacturer One [Member] | Finished Goods [Member]
Concentrations and Risks (Textual)
Concentration risk, percentage	11.00%	14.00%
wholesale customers [Member] | Manufacturer Two [Member] | Finished Goods [Member]
Concentrations and Risks (Textual)
Concentration risk, percentage	10.00%
Wholesale Business One [Member] | Revenues [Member]
Concentrations and Risks (Textual)
Concentration risk, percentage	26.00%	18.00%
Wholesale Business Two [Member] | Revenues [Member]
Concentrations and Risks (Textual)
Concentration risk, percentage	11.00%

Segments (Details)

Segments (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Dec. 31, 2018
Segment profit or loss:
Net revenue from external customers	$ 87,956	$ 92,785
Income from operations	821	1,446
Interest income	207	326
Interest expense	363	564
Depreciation and amortization	2,225	2,537
Income tax expense	825	757
Segment assets:
Additions to property, plant and equipment	2,131	2,552
Total assets	282,992	221,514	$ 252,271
Wholesale Segment [Member]
Segment profit or loss:
Net revenue from external customers	28,102	25,256
Income from operations	769	1,096
Interest income	199	309
Interest expense	262	490
Depreciation and amortization	290	305
Income tax expense	219	234
Segment assets:
Additions to property, plant and equipment	367	482
Total assets	78,419	86,526
Retail Segment [Member]
Segment profit or loss:
Net revenue from external customers	59,854	67,529
Income from operations	52	350
Interest income	8	17
Interest expense	101	74
Depreciation and amortization	1,935	2,232
Income tax expense	606	523
Segment assets:
Additions to property, plant and equipment	1,764	2,070
Total assets	$ 204,573	$ 134,988

Segments (Details Textual)

Segments (Details Textual)	3 Months Ended
	Mar. 31, 2019Segment
Segments (Textual)
Number of segments	2