Hong Kong-listed women’s footwear label Daphne International is withdrawing its physical retail stores from Mainland China and Taiwan in the face of steep losses.

The brand’s most recent interim financial report shows an 85-per-cent drop in turnover to US$27.35 million, and a loss of $18.2 million. The loss reflects the firm’s continuing strategy of closing Daphne and Shoebox-branded sales points, as well as the impact of the coronavirus pandemic.

The firm has had longstanding issues with its sales performance, and had already shuttered 900 stores by March last year.

Daphne reported 2208 physical stores in June last year, which had dropped to 293 by the same time this year.