Esprit is now operating primarily as a licensor, with management hoping its licensing business will begin generating stronger revenue in the months ahead. Without that growth, the insolvent holding company—under which the brand’s wholesale and e-commerce operations in Europe, Hong Kong, and North America are grouped—may continue to face financial challenges.
In the first six months of 2025, Esprit reported sales from continuing operations of approximately US $ 842,000, down 75% from US $ 3.34 million during the same period in 2024. The decline was mainly attributed to the loss of license income from European trademark rights, which were derecognized in 2024 following insolvency proceedings for the group’s German subsidiaries.
The company posted a net loss of US $ 2.66 million, compared to a profit of US $ 1.17 million in the same period last year. However, discontinued operations generated a profit of US $ 2.86 million, contributing to a modest net profit of US $ 169,000 attributable to shareholders.
As of 30th June, the holding company employed just 38 people, a sharp drop from more than 500 the previous year.
Despite these setbacks, management said it intends to continue operations, shifting focus toward an “asset-light”, license-driven brand strategy aimed at reducing the high costs tied to procurement, distribution, and retail operations.
