Mulberry group revenue drops 17%, with online accounting for 10% of sales
Mulberry has reported a 17 per cent fall in revenue in H1 of 2014, with the retail business falling nine per cent to £45.1m.
Having reported that revenue fell to £64.7m, the company also revealed that UK full price sales were down £2.7m, which Mulberry has attributed to a drop in the amount of tourist shoppers.
Online sales rose by £0.1m to £6.6m for H1, accounting for 10 per cent of group sales, while wholesale deals fell by £9m (31 per cent).
Godfrey Davis, executive chairman for Mulberry, said: "As I explained in June, my first actions on returning as acting chief executive focused upon reinforcing our product ranges. I explained that the impact would be progressive and should produce benefits over the medium term.
“As expected, the first half has been difficult, but the group remains profitable and cash generative, giving us the resources to invest for the future. Despite the current challenges, I remain confident that we will build on Mulberry's solid foundations and unique brand positioning in the luxury market to restore growth in the medium term."
The company added that profit before tax for the full year to March 2015 is expected to be significantly below current expectations.