By Yifan Wang
Shares of clothing retailer Esprit Holdings dived in Hong Kong Monday, after the company guided for a loss for the first five months of the year.
The stock fell as much as 6.9% and was last down 5.2% at 55 Hong Kong cents.
The selloff came after Esprit, which has headquarters in both Hong Kong and Germany, said it expects to post a net loss of about HK$604 million (US$77.2 million) over January-to-May 2023.
The company had made a net profit of around HK$13 million for the period of January to June 2022.
Esprit attributed the expected loss to a decline in revenue, citing “negative consumer sentiment in Germany and across the rest of Europe resulting from the poor economic environment and the continuing conflict in Ukraine.”
Write to Yifan Wang at [email protected]
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