Mulberry narrowed its losses in the first half of fiscal 2025, despite a 4% revenue slip to £53.9 million.
The British luxury brand slashed its operating expenses by 16% to £42.7 million in the 26 weeks ended September 27. A move away from discounting to focus on full-price sales helped to boost its gross margin to 69%, from 67% during the same period a year prior.
The company reported an underlying group loss of £7.4 million before tax, down from a £15.3 million loss in the first half of 2024, driven by strong cost control and a focus on profitable store locations in core markets. It more than halved its reported loss before tax to £6.9 million (2024: £15.7 million).
“This has been an encouraging first half as we continue to deliver our Back to the Mulberry Spirit strategy,” said Mulberry CEO Andrea Baldo in a statement. “We’re still early in the turnaround, but the foundations we’ve put in place are working, and we’re starting to see that reflected in performance. We’re strengthening our margin and we’ve improved our cash position through a greater focus on full-price sales and disciplined cost management, while our refreshed product offer and creative direction are reconnecting the brand with its customers.”
Overall like-for-like retail and digital revenue declined 2%. Asia-Pacific revenues were down 17% versus last year, driven by a 14% decline in like-for-like store sales. Mulberry has closed six stores in the region since the start of fiscal 2025. Like-for-like revenue increased 4% across the brand’s three key markets: the UK, Europe and the US.
Wholesale revenue was up 36%. Mulberry has signed new agreements in the UK with John Lewis, Liberty and Harvey Nichols. The business also noted a 46% increase in pre-loved sales compared to the same period last year.
In June, Mulberry announced a £20 million fundraise from its two largest shareholders (Challice Limited and Frasers Group), which is being used to bolster its marketing spend in core markets, rebuild stock levels of iconic styles, and upgrade existing digital platforms.
Baldo, who was formerly CEO of Ganni and joined Mulberry in September 2024, also continues to strengthen the brand’s leadership team, recruiting Priya Matadeen as brand director and End Clothing’s Tom Burrow as chief digital and customer officer during the first half of fiscal 2025.
Mulberry pointed to other highlights including the launch of the Roxanne line, as well as the evolution of iconic styles such as the Bayswater 9 to 5. The new Hackney line was launched at the start of H2, with two further lines — the Lennox and the Boston — hitting stores before fiscal year end. Mulberry named Cynthia Erivo as a brand ambassador in September 2025.
