AFP - Clothing company Etam has recorded a loss in profits of 73.5% 2008, when compared to results from 2007, down to €7.2 million. A spokesperson said in a press release on Wednesday 15 April that profits were affected across the company’s activities in Europe, whilst they are still recovering in China following a tough couple of years.

Natalia Vodianova poses for Etam

Last year, operating profit stood at €40.7 million, a drop of €27.1 million – of which €14.2 million was in Europe and €12.9 million in China.

However, Etam is recovering in China in the second quarter (+€900,000) after a loss of €13.8 million in the first.

The business also announced in its press release that it had seen a turnover of €274.7 million in the first quarter of 2009, up 8.9% on last year .

China, the Achilles heel of Etam since 2007, has continued to recover in the first quarter with a 54.9% increased turnover of €78.9 million.

On the other hand, the group saw results that were 2.7% lower in Europe at €148.6 million.

The company does not expect to pay shareholders a dividend in 2009. “To get through the economic crisis,’ the spokesman stated, “the group needs to simplify its organization”. No further details were forthcoming.