Bonds parent company Pacific Brands has posted a $109 million first half loss, with weak wholesale revenue set to remain a challenge.
The result was impacted by $138.5 million in writedowns to the company's goodwill, brand names, and plant equipment.
Earnings before interest and tax in its underwear division were also down 26 per cent to $26.7 million.
The $109 million loss for the six months to December 31 was still an improvement on a net loss of $219 million a year prior.
CEO David Bortolussi said weak wholesale sales and margins impacted stronger retail sales.
"Parts of our wholesale business continue to be challenging, particularly in discount department stores, but our retail business performed well, especially over the Christmas trading period."
The company opened 13 Bonds stores in the half and achieved high comp store growth in Bonds, up 24 per cent.
Recent divestments in Workwear and its Brand Collective division have also simplified the business, Bortolussi said.
"Operationally, we have achieved supply chain improvements in SKU reduction, product costs, lead times and service levels.
"We have been working hard in challenging market conditions, endeavouring to stabilise earnings and improve cash flow."
Bortolussi said market conditions will remain challenging.
"The significant drop in the Australian dollar over recent months places increasing pressure on the industry, which will need to respond operationally and also through price increases from the winter 2016 season when most hedge books unwind.
"Looking ahead, our three operating groups have clear strategic priorities – invest in our key brands, stabilise our core wholesale business, expand retail and online, drive operational efficiencies to ensure we are lowest cost, and over time develop the international business for our key brands."