Mulberry Group Plc · LSE:MUL
Mulberry — H1 2024 Earnings Presentation
23 slides from Mulberry's earnings presentation, November 2023
Slide 1: Results for the Twenty Six Weeks Ended 30 September 2023
MULBERRY GROUP PLC – RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEPTEMBER 2023
Slide 2: Contents
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Contents Highlights 3 STR ATEGY OVERVIEW 13 Current Trading 4 Strategy — Our 4 Strategic Pillars 14 Strategic Pillar 1 — Omni-Channel Distribution 15 FINANCIAL REVIEW 5 Strategic Pillar 2 — International Development 15 Revenue 6 Strategic P
Slide 3: Highlights
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Highlights FINANCIAL HIGHLIGHTS OPER ATING HIGHLIGHTS — Group revenue up 7% (8% CER*) to £69.7m (2022: £64.9m) — Digital sales represented 29% of total Group revenue in the period (2022: 25%), demonstrating the continuing • UK retail sales
Slide 4: Current Trading
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Current Trading — The wider macro-economic environment and geo-political climate continues to present some uncertainty, but we are well positioned to navigate this given our beautifully crafted product, made in our Somerset factories and so
Slide 5: Financial Review
yy - 4/7 Financial Review
Slide 6: Revenue
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Revenue 26 WEEKS 26 WEEKS — Group revenue increased by 7% (8% CER) in the period, with growth in both £ MILLION ENDED ENDED % CHANGE Q1 (+8%) and Q2 (+7%) on the prior period. Retail omni-channel sales grew 30 SEPT 2023 1 OCT 2022 +16% in t
Slide 7: International Revenue
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 International Revenue INTERNATIONAL MIX (AS A PROPORTION OF GROUP REVENUE) — International revenue increased to 47% of total Group revenue (2022:45%) driving revenue of £23.5m (2022: £17.5m) — Asia pacific digital revenue increased by 7% wh
Slide 8: Omni-Channel Revenue
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Omni-Channel Revenue — Global digital sales were 25% higher than HY 2022 £ MILLION 2023 2022 % CHANGE — In Asia Pacific, digital sales grew by 7% to £2.9m (2022 £2.7m), supported by the full acquisition of Australia and Japan, and the devel
Slide 9: Group Income Statement
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Group Income Statement — Other operating expenses increased by 21% to £58.9m (2022: £48.6m) and UNAUDITED UNAUDITED AUDITED 26 WEEKS ENDED 26 WEEKS ENDED 52 WEEKS ENDED underlying operating expenses increased by 9% £ MILLION 30 SEPT 2023 1
Slide 10: Group Balance Sheet
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Group Balance Sheet — Net working capital, which comprises inventories, trade and other UNAUDITED UNAUDITED AUDITED 26 WEEKS ENDED 26 WEEKS ENDED 52 WEEKS ENDED receivables and trade and other payables decreased by £9.1m to £34.6m £ MILLION
Slide 11: Group Cash Flow
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Group Cash Flow — The net decrease in cash and cash equivalents of £0.9m (2022: UNAUDITED UNAUDITED AUDITED 26 WEEKS ENDED 26 WEEKS ENDED 52 WEEKS ENDED decrease of £19.5m) included a £6.0m draw down of the Group’s £ MILLION 30 SEPT 2023 1
Slide 12: Capital Expenditure
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Capital Expenditure £ MILLION — Capital expenditure in stores and digital during £2.3 £5.2 £5.3 the period related to £0.2m refurbishments of UK stores, particularly Edinburgh, as well as £0.4m on Beijing China World renovation implementing
Slide 13: Strategy Overview
+ —— Overview Strategy.«
Slide 14: Our 4 Strategic Pillars
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Strategy — Our 4 Strategic Pillars OUR AIM IS TO BUILD MULBERRY AS A SUSTAINABLE GLOBAL LUXURY BR AND THROUGH FOUR STR ATEGIC PILL ARS INTE ION RN B UT AT T RI IO IS N D A L L E D N EV N HA EL OP I-C ME OMN NT E CO CL NS CY TA FE N LI N T
Slide 15: Strategic Pillars 1 and 2 — Omni-Channel Distribution, International Development
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Strategic Pillar 1 Strategic Pillar 2 — Omni-Channel Distribution — International Development STR ATEGY: STR ATEGY: With our rich heritage in leather craftmanship and reputation for innovation, We are optimising our digital channels and glo
Slide 16: Strategic Pillar 3 — Constant Innovation
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Strategic Pillar 3 — Constant Innovation STR ATEGY: We continue to work with new materials, and methods of creation and production, to adapt to changing customer tastes and to meet demand. At the same time, we are adding new services and tr
Slide 17: Strategic Pillar 4 — Sustainable Lifecycle
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Strategic Pillar 4 — Sustainable Lifecycle STRATEGY: Our Made to Last manifesto sets us apart, and we extend the life of all our products through our Lifetime Service Centre, Buy-Back offer, and The Mulberry Exchange for pre-loved bags. We
Slide 18: Strategic Pillar 4 — Sustainable Lifecycle
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Strategic Pillar 4 — Sustainable Lifecycle — Respect for people as well as the planet is embedded in all we do and we are proud to be a certified Living Wage employer and our hybrid working policy helps cut emissions and costs associated wi
Slide 19: Our aim is to build Mulberry as a sustainable global luxury brand
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Our aim is to build Mulberry as a sustainable global luxury brand through four strategic pillars: — Omni-channel distribution — International development — Constant innovation — Sustainable lifecycle Since the period ended, we have renovate
Slide 20: Appendix
Appendix
Slide 21: Store Detail
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Store Detail DEPARTMENT TOTAL YTD CHANGES TOTAL FULL YEAR FREE STANDING SHOP-IN-SHOP 30 SEPT 2023 FROM 1 APRIL 2023 1 APRIL 2023 UK 15 24 39 (1) 40 EUROPE 5 3 8 0 8 OWN STORES NORTH AMERICA 5 3 8 (1) 9 ASIA PACIFIC 24 19 43 0 43 China - She
Slide 22: Revenue by Product
RESULTS FOR THE T WENT Y SIX WEEKS ENDED 30 SEP TEMBER 2023 Revenue by Product 2023.24 2022.23 2021.22 BAGS 4% 6% 5% ACCESSORIES, SMALL LEATHER GOODS & GIFTS 14% 14% 16% OTHERS 82% 80% 79% 80% Bayswater Twist Knot Earrings Logo Pocket Square Malachite Gold & Silver Powder Rose & Night Sky Heavy Grai
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