Mulberry half-year losses widen

Mulberry’s half-year losses increased as the company’s new CEO emphasised the “clear need to reprioritise and rebuild the business.” Sales for the luxury brand fell 19 per cent to US $ 70.83 million, while losses increased to US $ 19.82 million for the 26 weeks ending 28th September from US $ 16.16 million in 2023.

In reaction to the state of the market, the retailer has taken “decisive actions to strengthen our cash position, lower working capital, increase margins, and streamline operations.”

Baldo stated that it had begun “reviewing its internal team structure,” which may mean job losses in the near future. Additionally, it has “made strategic adjustments” to its distribution, pricing, and product strategies.

The findings coincide with broader difficulties facing the luxury sector; earlier this year, Burberry’s profit fell 36 per cent as the company struggled with a difficult economic climate. Mulberry repelled a takeover attempt last month from Frasers Group, the company’s second-largest stakeholder and owned by Mike Ashley.