Troubled surfwear icon Billabong has posted another loss after being weighed down by restructuring costs and further weakness from its international operations.
But its $126 million first half loss is an improvement on the $537 million deficit of a year ago.
The result included restructuring and refinancing costs across the company's operations and writedowns relating to its sales of Canadian retailer West 49 and its DaKine snowboard accessory business.
Excluding the writedowns and the impacts of the asset sales, the company made a profit of $6.3 million during the half, down from $19.2 million a year ago.
Chief executive Neil Fiske, who joined the company in September following a protracted refinancing battle for the company between private equity groups, said he was pleased with the turnaround in the company so far.
But, he conceded, the retailer still had a long way to go.
"Make no mistake, this is a complex, difficult turnaround and the reforms we are putting in place will take some time to flow through to our bottom line," he said.
Mr Fiske said the internal turmoil at the company during the second half had slashed earnings from its Americas business.
"The period of uncertainty before the Centerbridge Oaktree refinancing resulted in operational instability in the Americas which has weighed on the result," he said.
"We've moved quickly to address leadership and talent gaps, restructure poorly performing parts of the business and get back on the front foot with our sales force and key accounts."
The company is working to focus on boosting its core brands, Billabong, Element and RCVA, by removing under-performing or incompatible businesses.
That includes the sales of West 49 and Dakine and the possible sale of online retailers Surfstitch and Swell.
Billabong shares were in a trading halt on Friday as the company launched a $50 million capital raising to help pay down some of the company's debts.
