**Esprit’s H1 Earnings Drop as Expected, Company Pledges Strong Second Half**.
Esprit’s first-half results fell in line with expectations, the troubled fashion retailer announced on Tuesday as it looks ahead to a stronger second half of the year..
**Key H1 Figures**.
* Revenue fell 1.2% to HK$7.6 billion (US$971 million).
* Gross profit margin declined to 61.6% from 63.8%.
* Net loss widened to HK$1.1 billion (US$140 million).
* Same-store sales dropped 12%.
**Regional Performance**.
The company’s performance varied across regions:.
* Asia Pacific: Revenue declined 12.6% to HK$3.2 billion (US$409 million).
* Europe, Middle East, and Africa (EMEA): Revenue fell 2.3% to HK$2.6 billion (US$332 million).
* North America: Revenue increased 1.7% to HK$1 billion (US$127 million).
**Challenges and Opportunities**.
Esprit has faced challenges in recent years, including a rapidly changing retail landscape and increased competition. The company has responded by implementing a turnaround plan that includes store closures, product line revisions, and a focus on e-commerce..
Despite the challenges, Esprit remains optimistic about the future. The company believes that its turnaround plan is starting to gain traction and that it will deliver stronger results in the second half of the year..
**Second-Half Outlook**.
Esprit expects to see improved performance in the second half of 2023, driven by:.
* New product launches.
* Marketing campaigns.
* Store renovations.
* Continued e-commerce growth.
**Management Commentary**.
William Pak, Esprit’s CEO, said, .
