Mulberry FY profit and sales boosted by product launches, online

Luxury retailer Mulberry reported a rise in full-year sales and profit on Wednesday thanks to product launches and the online business.

For the year to the end of March, pre-tax profit was up 21% to £7.5m on revenue of £168.1m, up 8% from the previous year. Retail sales including digital were 8% higher at £128.3m, with like-for-like sales up 5%. Meanwhile, revenue from digital channels increased 19% to represent 15% of group revenue.

Wholesale revenue, comprising sales to partner stores and selective multi-brand wholesale accounts, were up 7% to £39.8m.

A number of services were added to the group's omni-channel offer during the period and local mulberry.com sites were introduced in China and Korea. In the USA, a local distribution centre has been established in order to facilitate local fulfilment.

The group said sales were helped by a significant number of new products launched under the creative direction of Johnny Coca, such as the Zipped Bayswater bag, which has become an immediate bestseller since its launch in October last year.

Chief executive officer Thierry Andretta said: "During the year we have made good progress. Our sales and profits are growing, enhancing our strong cash position. We have advanced our international growth strategy with a new partnership in Asia and the continued expansion of our omni-channel offer in key markets. We have generated strong creative momentum with new products that are well received by our existing and new customers.

"Looking ahead, we will continue to invest in advancing our international development and increasing Mulberry's relevance to our customers' rapidly evolving lifestyle."

As far as current trading is concerned, Mulberry said retail LFL sales including digital were up 1% for the 10 weeks to 3 June.

At 0925 BST, the shares were down 2% to 1,126p.