Marchpole said that it had made good progress with its brands, subsidiaries and licensing deals over the 18 weeks to January 31.
However, Marchpole said in a statement: "Despite the progress we have made in all areas of our business, the difficult trading conditions in the UK and US have had an adverse impact on our sales and profit performance during this period. Therefore, the outturn for the year to March 31 2008 will result in a loss. The measures taken during the current period will put the company in a good position to increase its customer base and to take advantage of future profitable trading opportunities. We continue to focus on seeking licensing agreements for the further expansion of our business."
Marchpole said it had made good progress in establishing the Emanuel Ungaro and Ungaro Homme diffusion labels as a global menswear brand. The business also predicted that the restructuring of its US subsidiary Moda America would bring "significant cost savings and a reduction in the losses and stabilised current trading".
Income from new licensing agreements for the Jean Charles de Castelbajac brand has increased, and a standalone store for the brand will open in Conduit Street in London at the end of spring.
The company added that its footwear subsidiary Greenmark and its upmarket loungewear label Homebody were progressing well.