Global Brands expects massive loss
A big swing to a loss is expected by apparel group Global Brands Group Holding for its latest 12 months, to the end of March.
A preliminary assessment of its accounts indicates a net loss attributable to shareholders of between US$70 million and $75 million.
This compares to a net profit attributable to shareholders of about $90 million for the previous 12 months.
Global Brands says the expected loss is primarily the result of one-off impairment charges from the write-off of a receivable arising from a loan made by the company, as well as impairment charges on various intangible assets. Also, a major licence expired during the year. Exceeding $100 million, the impairment charges and receivable write-off were non-cash adjustments.
The company expects to release its annual results late next month.