Luxury menswear group Trinity is taking a cautious outlook after its revenue and profit declined in the year ended December 31.

A part of privately held Fung Group, Trinity operates 451 stores across brands including Kent & Curwen, Cerruti, Gieves & Hawkes, D’Urban and Intermezzo.

Trinity said sales fell by 3.7 per cent to HK$2.7 billion (US$347.6 million), with retail sales in Greater China down 5.3 per cent. Weak market demand caused the group to offer higher promotional discounts, leading to a drop in gross profit margin by 2.6 percentage points from 78.1 per cent to 75.5 per cent.

Net income slipped by 42.9 per cent to HK$308.2 million (US$39.7 million), it said.

Despite the softness of the Chinese market, Trinity remains confident China will become the biggest luxury market in the world.

“Our focus on Chinese consumers, both domestically and abroad, has not changed,” said MD Wong Yat Ming.

“This year we will continue to follow our ‘Global Brands, Global Networks’ strategy to strengthen our brand portfolio, while optimising our store network and monitoring operating costs,” he said.