Mulberry like-for-like sales improve after weak first-half results

Mulberry Group Plc

Mulberry Group Plc

On the 6th of November, British luxury fashion group Mulberry informed that the results from the beginning of the second half of the year were promising as retail sales grew significantly after the first half profit had been affected by operating costs. Mulberry Group Plc saw an 11 percent increase in like-for-like sales in the nine weeks ended on the 1st of December.

Mulberry results

Mulberry, which is the British luxury fashion group known for its expensive bags, informed that its retail revenue for the nine weeks ended on the 1st of December increased as much as 19 percent, up from 13 percent sales growth in the first half of the year ended on the 30th of September. Mulberry  Group Plc ’s like-for-like sales grew approximately 11 percent in the period, compared with a 7 percent increase in the first six months.

Due to a strong start British luxury fashion group Mulberry is convinced that it will meet analysts’ full-year estimates. Mulberry Group Plc underlined in a statement: “Although dependent upon Christmas trading, full year revenue and profit are anticipated to be in line with market expectations.”

In addition, the group informed that the wholesale sales dropped about 4 percent in the first sixth months ended September. Mulberry Group Plc saw a profit for the first half of the year decrease to approximately £10 million, from the almost £16 million a year ago. At the same time retail sales growth was roughly 7 percent on a like-for-like basis, compared with the 26 percent increase in the same period last year. British luxury fashion group Mulberry also saw UK retail sales grow approximately 9 percent to over £39 million in the first half of the year. International retail sales of the group jumped as much as 40 percent to £7.3 million as it opened stores in San Francisco, New Jersey, Zurich and Berlin. Top officials of British luxury fashion group Mulberry underlined the confidence in the international expansion plan.

As for online sale, British luxury fashion group Mulberry saw a significant jump of as much as 44 percent to almost £7 million in the first half of the year, accounting for approximately 9 percent of the company’s sales.

Mulberry faces tough environment

Mulberry Group Plc and other luxury fashion groups are facing challenging economic conditions which are affecting the business.  Bruno Guillon, chief executive officer at Mulberry Group Plc, underlined that the company expected wholesale sales to recover in the coming year. Despite tough economic conditions the UK retail business of Mulberry Group Plc did well, according to Bruno Guillon. In addition, Mulberry Group Plc has announced that it would mainly concentrate on making products for full-price stores.

Mulberry Group Plc reposes hope in Christmas as wealthier customers spend on the company’s high-end products. Also other luxury fashion groups such as Burberry Group Plc are waiting for the holiday shopping season.

Aubrey Chang
Aubrey Chang, Associate Editor Industry Leaders Magazine (www.industryleadersmagazine.com)

Recent Posts

Some Microsoft employees stayed at data centers during Pandemic to keep all systems going

Some Microsoft employees stayed at data centers during Pandemic to keep all systems going

The Covid-19 pandemic ravaging the world for more than a year has forced companies and organizations to find viable solutions to keep the business going. Most found a solution in w
9 hours ago
Meme stocks frenzy and 3 companies to follow

Meme stocks frenzy and 3 companies to follow

The doom and gloom about the stock market that has been predicted since the pandemic started has abated somewhat with the resilience shown by investors (helped by low-interest rate
9 hours ago
US Space Force allows repurposed SpaceX rocket to launch GPS satellite

US Space Force allows repurposed SpaceX rocket to launch GPS satellite

A GPS navigation satellite built by Lockheed Martin is set to ride a reused SpaceX booster on a launch from Cape Canaveral, Florida, Thursday. It will be the first time a military
17 hours ago
Disney boss says 40 pc ad revenue went to streaming sites, no plans of ad supported Disney+

Disney boss says 40 pc ad revenue went to streaming sites, no plans of ad supported Disney+

Walt Disney CEO Bob Chapel says the company’s advertising revenue for the upcoming fall television season was strong and went up by “double-digits” compared to 2019.
2 days ago
BlackRock ETFs breach $3 trillion mark in May

BlackRock ETFs breach $3 trillion mark in May

BlackRocks’ exchange-traded fund crossed $3 trillion for the first time in May, in sync with the ETF industry’s race to an all-time high of $9 trillion.
3 days ago
Flagship Pioneering, investor in Moderna raises $3.4 billion funds

Flagship Pioneering, investor in Moderna raises $3.4 billion funds

Flagship Pioneering, the bioplatform company, and the venture capital investor in Moderna, today announced that it had raised additional funding of $2.23 billion, which brings its
4 days ago