Luxury hosiery group Wolford AG on Thursday said it narrowed its first-quarter net loss to €1.67 million in the three months ended 31 July from €1.74 million a year earlier.

Higher sales and a 19.6 per cent reduction in debt were said to be behind the improved performance.

Sales rose in the first three months of its fiscal year rose to €24.59 million from €24.14 million a year ago.

The company says it expects full-year sales to reach its target of at least €120 million, up from the €116.3 million posted in its last fiscal year.

Wolford is launching a joint designer collection with Italian fashion house Missoni in spring/summer 2006.