Australian surfwear and lifestyle manufacturer Billabong has recorded a net loss after tax of $23.7 million during FY16 due to tax expenses.
According to the company, more than two thirds of its loss over the last financial year has been attributed to tax.
After actioning a growth led brand strategy the Group has recorded a 52% increase in global ecommerce sales with its three major brands raking in revenue increases.
Billabong jumped 1.9% for the year, Element 5.3% and RVCA 18.1% respectively.
Billabong chief executive Neil Fiske said that despite losses, the business is confident in its new strategy.
“We also improved our position in the crucial specialty wholesale channel, which is a leading indicator of brand strength with the core consumer.
“Against a backdrop of global uncertainty and industry change, we continue to focus on the levers within our control, including inventories, initiatives to lift margins, cost of doing business (CODB) and quality distribution.
“Inventories are back in line, we’ve become more efficient and we are building the global platforms that will help our brands grow and expand operating margins over time.
“Our strategy is to create strong global brands with tight distribution and an omni platform that integrates wholesale, retail stores, ecommerce and social media.
“That’s the way our consumer wants to shop.
“In an industry in transition, we believe our strategy is right and positions us well.”
Billabong's EBITDA in FY16 hit $57.5 million compared to $65.7 million in the prior corresponding period.