Italian luxury goods firm Aeffe has posted a net loss of EUR100m (US$143.2m) for the first half of the year, swinging from income of EUR6m in the same period last year.

The company reported revenues of EUR111.1m, compared to EUR144.6m in 1H 2008.

The company said significant attention has been made in reducing operating costs for its leather goods division.

Massimo Ferretti, executive chairman of Aeffe Spa, said: "First half 2009 results have been penalised not only by the general economic environment, but also by the negative performance of the Pollini division and, albeit to a lesser extent, by the costs associated with the expansion of our monobrand stores network; at the same time we are reassured with the fact that our core business continues to be profitable despite the general decline in consumption.

"Management has already taken actions to rationalise operating costs' for the Pollini division and others are to be implemented. The group is facing this difficult moment for the whole sector reinforcing its strong focus on costs savings in order to recover production efficiency and working on creating collections more in line with the new clients' needs."