Your browser is no longer supported. For the best experience of this website, please upgrade to a newer version or another browser.

Your browser appears to have cookies disabled. For the best experience of this website, please enable cookies in your browser

We'll assume we have your consent to use cookies, for example so you won't need to log in each time you visit our site.
Learn more

UK market hits Mulberry's profits

“Challenging” UK market conditions hit luxury British brand Mulberry’s profits in the 26 weeks to 28 September, as its loss before tax deepened to £9.9m.

This is £1.7m worse than its £8.2m loss in the first half 2017/18, which the group put down to its UK arm and investment costs.

Mulberry’s annual revenue, however, grew by £600,000 to £68.9m in the period.

It said a 12% rise in international sales and 4% decline in the UK reflected “challenging” market conditions, adding: “UK business [was] impacted by an increasingly promotion-led environment and lower traffic to stores”.

The group also reported double-digit sales growth in Asia – representing 14% of the group’s total revenue – and it opened four new stores there in the first half, bringing its total Asia store count to 32.

Global digital sales were up 23% year on year, and the group continued to focus on its sustainability efforts, including its use of recycled materials and responsibly-sourced leathers.

CEO Thierry Andretta commented: “We have made further progress with our strategy through continued investment in a direct to customer, international, digital and omni-channel model.

“We are seeing the benefit of recent initiatives in Asia, which remains a significant growth opportunity. This will support our ambition for international to become a greater proportion of group revenue.”

Mulberry launched its collaboration with Scandi brand Acne Studios this month.

 

Have your say

You must sign in to make a comment

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions. Links may be included in your comments but HTML is not permitted.