French Connection profits cut after store closures

British fashion retailer French Connection Group reported a drop in profit for the half-year due to the closure of some of its stores.

The owner of the Toast, French Connection and Great Plains brands has been struggling to fend off competition from fast-fashion rivals such as Asos, Forever 21 and Inditex’s Zara. It has closed stores and hired new management and design teams as it tries to return to a profit.

In March activist investor Gatemore Capital urged the loss-making company to split itself or spin off its Toast brand, among other options. It offloaded its entire stake in July, saying it was not satisfied with the pace of change at the 45-year old retailer.