Mulberry sales up 41 per cent at Christmas

 

The success of UK luxury fashion chain Mulberry gathered pace today after it said profits had been given a further boost by a strong Christmas.

The group, whose best selling products include its Alexa handbag named after television presenter Alexa Chung, enjoyed a 41% sales boom in the six weeks to January 14 as the high end of the fashion market proved resilient to the economic gloom.

Somerset-based Mulberry is likely to have benefited from strong demand from its stores in Asia and from affluent Asian tourists visiting stores in the West.

It has opened 11 new outlets overseas since March, including a flagship store in New York and sites in Singapore, Bangkok, Taipei and five in South Korea, bringing its total to 92, with more than half overseas.

Shares rose 6% after the group said profits for the year to March 31 are likely to be higher than the 29% rise to £30.1 million it had previously expected.

Chairman and chief executive Godfrey Davis said he was delighted with the latest sales performance, which represented a marked acceleration on the 14% rise in the previous 10 weeks.

Mulberry has upgraded its profit forecasts three times in a year and last month announced half-year profits more than trebled to £15.6 million.

The company, which was founded in 1971 by Roger Saul and his mother Joan in Somerset, has ambitions to transform itself into a major global brand, following in the footsteps of UK label Burberry.

It plans to open more stores in South Korea early this year and it recently poached French chief executive Bruno Guillon from luxury brand Hermes to spearhead its growth. He will take over from Mr Davis from March 1.

Mulberry has also invested £2 million expanding its factory, The Rookery, in Chilcompton, Somerset, increasing the brand's manufacturing capacity by 30% and creating 50 jobs.

Philip Dorgan, an analyst at Panmure Gordon, said: "This is yet another extraordinarily strong update from Mulberry.

"It has barely scratched the surface of its global potential, with only a handful of stores in many key luxury goods markets."

He upgraded his full-year profits forecast by £2 million to £37 million, while the following year's figure was also pushed up by £1 million to £45 million.

PA

PROMOTED VIDEO
Life and Style
food + drink
Arts and Entertainment
musicBand's first new record for 20 years has some tough acts to follow
News
Shoppers in Covent Garden, London, celebrate after they were the first to buy the iPhone 6, released yesterday
tech
News
Liam Payne has attacked the media for reporting his tweet of support to Willie Robertson and the subsequent backlash from fans
peopleBut One Direction star insists he is not homophobic
Life and Style
healthFor Pure-O OCD sufferers this is a reality they live in
Arts and Entertainment
A bit rich: Maggie Smith in Downton Abbey
tvSeries 5 opening episode attracts lowest ratings since drama began
News
ebooksAn unforgettable anthology of contemporary reportage
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Trainee / Experienced Recruitment Consultants

£20000 - £25000 per annum + OTE £40,000: SThree: SThree are a global FTSE 250 ...

Trainee Recruitment Consultant - Soho

£20000 - £25000 per annum + OTE £40000: SThree: As a Recruitment Consultant, y...

Trainee Recruitment Consultants - Banking & Finance

£20000 - £25000 per annum + OTE £40,000: SThree: SThree Group have been well e...

Quantitative Risk Manager

Up to £80000: Saxton Leigh: My client, a large commodities broker, is looking ...

Day In a Page

A roller-coaster tale from the 'voice of a generation'

Not That Kind of Girl:

A roller-coaster tale from 'voice of a generation' Lena Dunham
London is not bedlam or a cradle of vice. In fact it, as much as anywhere, deserves independence

London is not bedlam or a cradle of vice

In fact it, as much as anywhere, deserves independence
Vivienne Westwood 'didn’t want' relationship with Malcolm McLaren

Vivienne Westwood 'didn’t want' relationship with McLaren

Designer 'felt pressured' into going out with Sex Pistols manager
Jourdan Dunn: Model mother

Model mother

Jordan Dunn became one of the best-paid models in the world
Apple still coolest brand – despite U2 PR disaster

Apple still the coolest brand

Despite PR disaster of free U2 album
Scottish referendum: The Yes vote was the love that dared speak its name, but it was not to be

Despite the result, this is the end of the status quo

Boyd Tonkin on the fall-out from the Scottish referendum
Manolo Blahnik: The high priest of heels talks flats, Englishness, and why he loves Mary Beard

Manolo Blahnik: Flats, Englishness, and Mary Beard

The shoe designer who has been dubbed 'the patron saint of the stiletto'
The Beatles biographer reveals exclusive original manuscripts of some of the best pop songs ever written

Scrambled eggs and LSD

Behind The Beatles' lyrics - thanks to Hunter Davis's original manuscript copies
'Normcore' fashion: Blending in is the new standing out in latest catwalk non-trend

'Normcore': Blending in is the new standing out

Just when fashion was in grave danger of running out of trends, it only went and invented the non-trend. Rebecca Gonsalves investigates
Dance’s new leading ladies fight back: How female vocalists are now writing their own hits

New leading ladies of dance fight back

How female vocalists are now writing their own hits
Mystery of the Ground Zero wedding photo

A shot in the dark

Mystery of the wedding photo from Ground Zero
His life, the universe and everything

His life, the universe and everything

New biography sheds light on comic genius of Douglas Adams
Save us from small screen superheroes

Save us from small screen superheroes

Shows like Agents of S.H.I.E.L.D are little more than marketing tools
Reach for the skies

Reach for the skies

From pools to football pitches, rooftop living is looking up
These are the 12 best hotel spas in the UK

12 best hotel spas in the UK

Some hotels go all out on facilities; others stand out for the sheer quality of treatments