Wolford hit by market weakness, expects full-year loss
Austrian hosiery brand Wolford has warned that it will make a full-year loss despite the positive impact of a cost-saving programme, blaming the ongoing market weakness and its Christmas trading performance.
Shares in the company fell almost 9% on Tuesday on the Vienna Stock Exchange (VSE).
Wolford has been struggling to revert sliding sales in recent years, but a restructuring programme helped it narrow its losses in the first half of the year to €5.92m from €6.18m.
Despite the revenue decline, the business hoped to return to profitability in the current 2018/19 financial year, after two years of losses. However, the previous forecast has now been revised to anticipate a loss.
Several measures have been implemented with the aim of turning around the struggling business over the last year, including a new brand strategy, and the sale of a majority stake to Chinese conglomerate Fosun.
The new majority owner is now preparing to expand the hosiery business in China.
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