Chinese menswear retailer Zuoan has seen its net profit slump, blaming a downturn in China’s retail industry.

Net income for the first quarter decreased by 62.2 per cent to 27.9 million yuan ($4.5 million) from 73.8 million yuan in the same quarter of 2013.

Revenues were 189.2 million yuan ($30.4 million), down 36.1 per cent from 296.3 million yuan in the first quarter of 2013.

“The ongoing downturn in China’s retail industry has had an impact on many retailers and their supply chain partners, including Zuoan,” says CEO James Hong.

The company, with 1087 stores in China as of March 31, says it will be prudent with spending to ensure revenue and profit growth ahead.

“We are confident Zuoan is on a gradual path to recovery, enabling us to be a stronger player in China’s fashion casual menswear industry,” says Hong.