Parkson Retail Asia expecting loss
In a profit guidance, department store retailer Parkson Retail Asia warns it expects to finish its latest financial year with losses.
Its board says this is because of headwinds in each country where it has stores, as well as further write-downs of group’s assets.
It anticipates a net loss attributable to owners of the company of about S$62 million (US$45.4 million) for the 12 months following last year’s net profit of $30 million.
Parkson says the anticipated loss is mainly attributable to non-operational impairment charges on property, plant and equipment, as well as goodwill. Last year’s profit was boosted by a gain on the partial disposal of a former subsidiary for $47 million.
The group says its performance has been impacted by overall tepid or negative same-store sales growth, plus new stores and ventures have been in a gestation period.