Warnaco Inc, the US clothing maker, on Monday posted financial results for the five months since its emergence from bankruptcy protection on 4 February 2003. The company also said it will close factories in the US, but would provide further details.

New York-based Warnaco, which produces underwear, swimwear and sportswear for companies such as Calvin Klein, Speedo, Polo Ralph Lauren and Nautica Enterprises, reported sales of $ 662.2m (€ 586m) and a net profit of $ 14.2m for the five months ended 5 July 2003. In the second quarter, Warnaco saw sales decline by 12.1 per cent to $ 335.8m, but cut its net loss to $ 8.5m from $ 31.9m in the year-earlier quarter.

Calculated on a pro forma basis, as if the company had emerged from bankruptcy protection at the beginning of 2003, Warnaco saw sales decline to $ 778.1m from $ 791.8m in the first half of 2002, which included $ 32.8m from sold and discontinued businesses. Net profit increased by 26 per cent to $ 32.1m.

The company''s CFO James Fogarty said he was pleased with first-half results, which – on a pro forma basis – were better than expected. Mr Fogarty also announced further cost-cutting measures such as the closure of Warnaco''s remaining domestic manufacturing facilities. On a pro forma basis, Warnaco predicts net profit for the current financial year to range between $ 44m and $ 50m compared with $ 30.6m in the previous year.