Challenging times seen for global sourcing giant
Hong Kong-based Li & Fung (0494), the world's largest supplier of clothes and toys to retailers, said conditions in its key US and Europe markets remain challenging after it reported a decline of 9 percent in first-half core operating profit.
Friday, August 22, 2014
"The outlook of our key markets, the US and Europe, continues to be uncertain," the company said yesterday. "Most customers are delaying order decisions until they get better indications about consumer confidence in the third quarter."The view at billionaire chairman William Fung Kwok-lun's company, which gets about 60 percent of revenue from the United States, follows cuts in full-year profit forecasts at its two top customers Wal-Mart Stores and Target.