Loss-making fashion chain Theme International Holdings plans to scale down its Hong Kong business and cut overheads as part of sweeping changes aimed at turning around its operations, according to executive chairman Lam Foo-wah.
For the year to September 30, Theme's net loss widened 311 per cent to HK$27.45 million from HK$6.67 million a year ago. The fashion chain incurred losses in all markets except Taiwan. Its parent, High Fashion International, posted a net loss of HK$27.17 million due to a slump in sales to the United States.
Mr Lam hoped to turn around Theme's business as soon as possible.
Mr Lam said the senior management of Theme, 75 per cent owned by High Fashion, had been replaced by younger executives with adequate retail experience.
The chain would also close four loss-making outlets in Hong Kong within six months, reducing the number of outlets in the city to five.
Its SAR operations incurred a loss of HK$8.65 million from a profit of HK$271,000 previously.