Mulberry is embarking on a new turnaround strategy and has announced the appointment of a new chief financial officer with the aim of returning the brand to profitability.
The luxury brand today announced that it will aim to rebuild gross margin and profitability by bringing the heritage label “Back to the Mulberry spirit”.
Mulberry is targeting annual revenue of £200m and 15% adjusted EBIT margins, as it sets out plans to refocus the brand on the UK market and reduce its emphasis on China while realigning its operations in Asia.
Mulberry boss Andrea Baldo said: “Our new strategy sets out our commitment to turn around this business and return to sustainable profitability.”
“We need to get back to where we came from and return to the spirit of Mulberry. First created by Roger Saul over 50 years ago, it is this Britishness, cultural relevance, creativity and responsible craftsmanship that is so loved by our customers.
“These strengths, along with our unique price position, sets us apart from the market.”
The brand also announced the appointment of former Milk & More chief financial officer Billie O’Connor as its finance chief.
O’Connor said: “I am delighted to be joining the business as it embarks on this next chapter. Mulberry is a key part of Britain’s luxury retail landscape and a brand I have always admired.
“The new strategy Andrea has outlined today is a clear turnaround plan with ambition for the future. I am looking forward to working with the talented team and craftspeople to execute this new strategy and drive sustainable financial growth.”
British luxury brand Mulberry has struggled to hold ground with consumers in recent years, and the most recent golden quarter did not change its fortunes. Mulberry described trading over the festive period as “satisfactory”, and “in line with the board’s expectations”, with group revenue for the period declining by 18.3% for the 13 weeks to December 28.
No comments yet