UK Retail Sales Dip, Digital and Sustainability Strategies Remain Key Focus

  • Mulberry’s pre-tax profits fell from £21.3m to £13.2m in FY23
  • Revenues rose by 4% to £159.1m
  • UK retail sales declined slightly to £87.7m
  • International retail sales increased 12% to £46.5m
  • Digital sales were up 2% at £48.4m, representing 30% of total revenue
  • Gross margins maintained at 71.2% (2022: 71.7%)
  • Full price retail sales increased by 6%, accounting for 78% of all retail sales
  • Mulberry CEO Thierry Andretta highlights unique brand identity and market-leading omni-channel proposition
  • Sustainability remains central to the strategy with a focus on a regenerative and circular model by 2030
  • Expanded circularity programme in UK and Europe, restoring over 10,000 bags annually
  • Investments made in Sweden and Australia, full ownership of Mulberry Japan Co. Limited
  • CEO thanks colleagues for continued dedication to the business

Mulberry has reported a decline in pre-tax profits from £21.3m to £13.2m for the year ended 1 April 2023, despite an increase in revenues by 4% to £159.1m. UK retail sales dipped slightly to £87.7m, while international retail sales soared 12% to £46.5m compared to £41.7m in 2022. Digital sales rose 2% to £48.4m, accounting for 30% of total revenue. The company maintained gross margins at 71.2% (2022: 71.7%), with full price retail sales up by 6%, representing 78% of all retail sales. CEO Thierry Andretta emphasized the brand’s unique identity and market-leading omni-channel proposition, along with a strong focus on sustainability, aiming for a regenerative and circular model by 2030. The company expanded its circularity programme in the UK and Europe, restoring over 10,000 bags annually. Investments were made in Sweden and Australia, including full ownership of Mulberry Japan Co. Limited. Andretta praised colleagues for their dedication to the business.

Factuality Level: 10
Factuality Justification: The article provides accurate information about Mulberry’s financial performance, including pre-tax profits, revenues, sales in different regions, digital sales, gross margins, and CEO’s comments on the company’s strategy and growth plans. It also includes specific figures and details without any sensationalism or opinion masquerading as fact.
Noise Level: 2
Noise Justification: The article provides relevant information about Mulberry’s financial performance and strategic initiatives, with a focus on sustainability and international expansion. It also includes quotes from the CEO that add context and insight into the company’s plans for growth.
Financial Relevance: Yes
Financial Markets Impacted: Mulberry’s stock price may be impacted by the company’s financial performance and expansion plans.
Financial Rating Justification: The article discusses Mulberry’s financial performance, including changes in profits, revenues, and sales, as well as its international expansion plans. These factors can potentially affect the company’s stock price and investor sentiment.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: No extreme event mentioned in the article

Reported publicly: www.retailsector.co.uk