Mulberry Group (MUL)

Sector:

Personal Goods

Index:

FTSE AIM All-Share

105.00p
   
  • Change Today:
      2.50p
  • 52 Week High: 260.00
  • 52 Week Low: 95.00
  • Currency: UK Pounds
  • Shares Issued: 60.08m
  • Volume: 9,905
  • Market Cap: £63.08m
  • RiskGrade: 340

Mulberry swings to a half-year loss

By Michele Maatouk

Date: Wednesday 30 Nov 2022

LONDON (ShareCast) - (Sharecast News) - Luxury handbag maker Mulberry said on Wednesday that it swung to a half-year loss as UK retail sales took a hit.
In the 26 weeks to 1 October, the company swung to a reported pre-tax loss of £3.8m from a profit of £10.2m in the same period a year earlier, which included business rates relief of £2m and a one-off £5.7m profit on disposal of a Paris store lease.

Group revenue nudged down 1% to £64.9m. Mulberry said UK retail sales "were impacted by the broader economic environment", down 10% to £34.1m.

In China, retail sales rose 6% despite Covid restrictions, while international sales were in line with the same period last year.

Chief executive Thierry Andretta said: "We have delivered a resilient performance across the Group, supported by strong international demand and continued investment in the UK.

"Looking ahead, we are confident in our ability to execute our strategy and to continue to invest across the group for our future growth, in spite of the challenging economic and geopolitical backdrop. We are well placed for the festive trading period and will continue to drive the business forward to the benefit of all stakeholders."

At 0945 GMT, the shares were down 17% at 237.00p.

Russ Mould, investment director at AJ Bell, said: "Not all luxury brands are created equal. While you'd expect posh handbags seller Mulberry's wealthy clientele to be insulated from cost-of-living pressures, its first half results have more in common with your humble high street retailer than a high-end brand.

"Even though the company has raised prices, sales have fallen, and Mulberry is in the unenviable position of chalking up a material loss. That loss could have been even worse if the company hadn't hedged its energy costs for three years in October last year, so management deserve a pat on the back for that move.

"One bright spot for Mulberry came from China where sales were appreciably higher - though the recent turmoil in the country could undermine this positive trend.

"A key plank of the strategy is to build on Mulberry's Asian presence and the company also plans to bring distribution in-house, making its online and physical proposition more closely aligned and moving away from a franchise model to full ownership of stores.

"However, there are risks to this approach and after today's half year numbers CEO Thierry Andretta will be under big pressure to deliver."

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

Mulberry Group Market Data

Currency UK Pounds
Share Price 105.00p
Change Today 2.50p
% Change 2.44 %
52 Week High 260.00
52 Week Low 95.00
Volume 9,905
Shares Issued 60.08m
Market Cap £63.08m
RiskGrade 340

Mulberry Group Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
9.42% above the market average9.42% above the market average9.42% above the market average9.42% above the market average9.42% above the market average
27.27% below the sector average27.27% below the sector average27.27% below the sector average27.27% below the sector average27.27% below the sector average
Price Trend
80.57% below the market average80.57% below the market average80.57% below the market average80.57% below the market average80.57% below the market average
69.23% below the sector average69.23% below the sector average69.23% below the sector average69.23% below the sector average69.23% below the sector average
Income Not Available
Growth
17.3% below the market average17.3% below the market average17.3% below the market average17.3% below the market average17.3% below the market average
50.00% above the sector average50.00% above the sector average50.00% above the sector average50.00% above the sector average50.00% above the sector average

What The Brokers Say

Strong Buy 0
Buy 0
Neutral 1
Sell 0
Strong Sell 0
Total 1
neutral
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Mulberry Group Dividends

  Latest Previous
  Final Final
Ex-Div 26-Oct-23 27-Oct-22
Paid 24-Nov-23 25-Nov-22
Amount 1.00p 3.00p

Trades for 28-Mar-2024

Time Volume / Share Price
16:35 150 @ 105.00p
16:35 78 @ 105.00p
16:35 4 @ 105.00p
16:35 68 @ 105.00p
13:14 5 @ 105.00p

Mulberry Group Key Personnel

CEO Thierry Andretta

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