Property sale boosts Bossini International profit

While expecting a leap in profit because of a special circumstance, clothing retailer Bossini International Holdings had a “significant” decrease in revenue for its latest year of trading.

The group reports an expected jump in profit ranging from 147 to 157 per cent for the year ended June 30, mainly because of a gain of about HK$267 million (US$34.4 million) on the disposal of a macau property and a leaseback arrangement.

Excluding that gain, the group predicts a drop in profit of between 75 and 85 per cent compared with the previous year, attributed mainly to a drop in revenue resulting from fewer tourists in Hong Kong and Macau, and a strong Hong Kong dollar.

Other factors were weak local consumer sentiment, an unseasonably warm winter and intensified competition in several core markets.

Bossini’s audited annual results are expected to be announced late next month.