Owing to pandemic-induced store closures, British clothing retailer Burberry saw its yearly sales and profits slump.
The fashion retailer’s adjusting operating profit fell by 8.5 per cent to £396 million for the year ended 27 March 2021.
The revenue for the period dropped by 11 per cent to clock £2,344 million.
Burberry has attributed the slump in profits and sales to pandemic-induced store closures as well as fall in tourism.
Notably, in the fourth quarter, the retailer saw its year-on-year comparable store sales jump by an impressive 32 per cent – this despite 16 per cent of its stores closed owing to the pandemic.
The full-price sales during the fourth quarter also rose by 63 per cent – all thanks to good performance in China, the US and Korea.
The retailer has forecast slight growth in revenue this year, underpinned by the performance of full-price sales.
Marco Gobbetti, CEO, Burberry, has said that in last 3 years, Burberry has transformed its business and built a new Burberry, anchored firmly in luxury.
Burberry currently designs and distributes ready-to-wear including trench coats, leather goods and fashion accessories, amongst others. It generated £2.63 billion in 2020.