China Fordoo Holdings, which designs, makes and wholesales menswear apparel in China, expects its profit for its latest fiscal year to dive by “not less than 50 per cent” compared with 2015.
This is based on a preliminary assessment of the group’s consolidated management accounts for the 12 months ended December 31.
It says the decline is mainly because of the group’s consolidation strategy for its retail outlet network, the termination in the first half of the year of distribution relationships with and delivery of orders to distributors with a slow repayment history, and a significant drop in sales in the second half of the year following the distributor terminations.
China Fordoo says its audited annual results will be published on or before March 31.