361 Degrees profit slides
Chinese sports goods company 361 Degrees has seen its net profit for the six months to June slid 65.5 per cent to 205.3 million yuan ($33.5 million).
The company said the six months was a difficult period with a slowing economic environment affecting consumer sentiment.
Revenue dropped 30.4 per cent to 2 billion yuan during the first half while operating profit declined 52.5 per cent to 306 million yuan.
Due to deplorable state of the industry, 361 Degrees closed 256 stores, reducing its network to 7826.
361 Degrees expects further profit erosion in the second half, however, it is optimistic about its long-term outlook as with rising disposable incomes and a renewed national emphasis on urbanisation.
The upheaval in the sportswear industry has also seen retailers like Li Ning, Anta and Peak losing their profits and trimming their networks.