The clothing retailer, known for its once-controversial FCUK campaign, now expects pre-tax profits to be between£11 million and£14 million, compared with about£20 million forecast previously.
French Connection chairman Stephen Marks said trading had been tough, especially in recent months. He said: 'Since the group's interim results in September, we have seen an improvement in retail trading. However, this has not been sufficient to meet our targets and this, combined with a shortfall in our wholesale orders for summer 2006, has resulted in pressure on the group's financial forecasts.'
Retail analyst Nick Bubb said the fashion brand - one of the most successful of the 1990s - is now 'French disconnection'.
The group has been critised for not updating its image and failing to keep up with trends predicted by fashion experts.