28 Aug 2012

Turnaround strategy announced by Billabong

5:54 am on 28 August 2012

Billabong on Monday announced a turnaround strategy after profit at the Australian surfwear company fell dramatically.

Billabong reported an annual net loss of $A276 million, due to $A336 million of one-off costs.

Excluding those one-off items, the ABC reports net profit was $A33.5 million, after a 7.9% fall in revenue to $A1.55 billion.

The company says it plans to simplify the business to return to better sales growth, but says tough trading conditions will continue.

The ABC reports it plans to close another 82 stores in the current financial year, sell assets and discount stock, to boost its next results.

Billabong has already shut 58 stores this financial year.