• Turnover flat at HK$34.5bn
  • Net profit down 26% to HK$4.75bn
  • Retail comps up 3.5%

Fashion group Esprit Holdings saw its full-year profit fall back 26% to HK$4.75bn (US$613m) despite posting continued growth from its retail operations.

The Hong Kong-based company said its turnover for the year ended 30 June was flat at HK$34.5bn, but added that retail turnover was up 10%, boosted by a 3.5% increase in comparable store sales.

Retail sales now account for 47% of group revenues, up from 43% in the previous year.

However, its second half profit fell 40% to HK$1.89bn, leaving the company with a lower than expected full-year profit figure.

"This year, the robustness of our company was put to the ultimate stress test," said Esprit Holdings chairman and CEO Heinz Krogner.

He said he was "proud" of the resilience of the company's business model, adding: "Nevertheless, I see difficult times as a wake-up call and I have taken this opportunity to strengthen and consolidate the operating platform, all in preparation for future growth as the global economy recovers."