REG - Mulberry Group PLC - House of Fraser and UK Trading Update

MulberryAnnouncement

20/08/2018 07:05

RNS Number : 2193Y
Mulberry Group PLC
20 August 2018
 


Mulberry Group plc
House of Fraser and UK Trading Update
 
Following the recent announcement of House of Fraser's entry into administration and the selective acquisition of assets by Sports Direct International plc, Mulberry Group plc ("the Group" or "Mulberry") has considered the impact on the Group's financial results for the year to 31 March 2019.
 
Mulberry operates 21 House of Fraser concessions, employing 88 people across the UK as part of the Group's global store and digital network. Following a review of debtor balances, fixed assets and potential costs that may result from restructuring, the Group is expecting to provide £3 million for exceptional costs in the results for the six months to 30 September 2018.
 
Since the Group reported in June 2018, the UK market has continued to remain challenging and sales in House of Fraser stores have been particularly affected. If these sales trends in the UK continue into the key trading period of the second half of the financial year, the Group's profit for the whole year will be materially reduced.
 
Trading in the rest of the world continues to develop broadly in line with management's expectations and, in August, the Group completed the previously announced transaction with its distribution partner to create Mulberry Korea, which became a subsidiary from that date.
 
The Group is in a strong cash position and continues to follow its strategy to develop Mulberry into a global luxury brand. Over the past two years the Group has enhanced the international network, particularly in Asia, and will continue to invest in the omni-channel experience and marketing across its international markets.
 
 
FOR FURTHER DETAILS PLEASE CONTACT:
 




Headland
Lucy Legh / Emma Ruttle             


020 3805 4822




 


 




Mulberry Investor Relations
Allegra Perry


020 7605 6795




 


 




GCA Altium
Sam Fuller / Tim Richardson


020 7484 4040




 


 




Barclays
Nicola Tennent / Stuart Muress


020 3134 9801




 
                                                                                                                         
 
                                                                                                                                                               
 
                                                                                                                                               
 
                                                                                                                               
 
 




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