Hong Kong-headquartered multinational group Li & Fung has reported a decrease in its core operating profit in the six months to June 30 citing weak demand in Europe and a slower than expected turnaround in the US business.
Core operating profit was US$221 million, representing a decrease of 22 per cent compared to same period in 2011. Li & Fung group president and CEO Bruce Rockowitz said the company will focus on taking the necessary steps to improve the second half results.
Meanwhile, net profit totalled US$312 million, an increase of 33 per cent over the same period in 2011.
Going forward, Li & Fung’s growth strategy will continue to focus on organic growth and strategic acquisitions, according to group chairman William Fung.
“There is no doubt that more acquisition deals are available at attractive prices in a time of global economic uncertainty,” he said.
Li & Fung targets a core operating profit of US$1.5 billion by 2013.
Li & Fung manages the supply chain for retailers and brands worldwide with over 300 offices and distribution centers in more than 40 countries spanning across the Americas, Europe, Africa and Asia.
GB
