×
99 196
Fashion Jobs
MICHAEL KORS STORES LLC
Full Time Sales Supervisor, Brookfield Place Nyc
Permanent · Rochester Metropolitan Area
ROSS STORES
Store Protection Specialist
Permanent · Houston
TJ MAXX
lp Detective
Permanent · Homestead
TJ MAXX
70118-Loss Prevention Detective, Newbury st, Boston, ma
Permanent · Boston
HOMEGOODS
lp Detective
Permanent · Frederick
TJ MAXX
70118-Loss Preventon Detective, Downtown Boston, ma
Permanent · Boston
KOHLS
Full-Time Sales Supervisor - Softlines
Permanent · Chattanooga
KOHLS
Full-Time Sales Supervisor - Softlines
Permanent · Norman
MACY'S
Asset Protection Detective, Bridgewater Commons - Full Time
Permanent · Bridgewater Township
MACY'S
Asset Protection Security Guard, Presidential Markets - Full Time
Permanent · Snellville
MACY'S
Asset Protection Detective, Santa Ana Mainplace - Part Time
Permanent · Santa Ana
MACY'S
Asset Protection Detective, Reno Meadowwood - Full Time
Permanent · Reno
MACY'S
Asset Protection Detective, Topanga - Part Time
Permanent · Los Angeles
BLOOMINGDALE'S
Asset Protection Outlet Supervisor, Outlets at Orange - Full Time
Permanent · Orange
BLOOMINGDALE'S
Asset Protection Visual Security Officer, Roosevelt Field - Part Time
Permanent · Garden City
ULTA BEAUTY, INC.
Retail Sales Manager
Permanent · Palmdale
KOHLS
Full-Time Loss Prevention Officer
Permanent · Pleasant Hill
KOHLS
Human Resources Generalist - Logistics
Permanent · DeSoto
KOHLS
Full-Time Sales Supervisor - Softlines
Permanent · West Des Moines
COTY
sr. Manager, Ecommerce Trade Mkting
Permanent · Los Angeles
COTY
Manager, Ecommerce Trade Mkting
Permanent · Los Angeles
COTY
Manager, Ecommerce Independents
Permanent · Los Angeles
Published
Mar 19, 2020
Reading time
2 minutes
Share
Download
Download the article
Print
Click here to print
Text size
aA+ aA-

Burberry sales suffer Covid-19 pain but firm is preparing for the recovery

Published
Mar 19, 2020

Burberry had more bad news on Thursday as it updated on the "material negative effect of Covid-9 on luxury demand" saying that the situation has "intensified and is now impacting the industry in all regions”.


Burberry is feeling the heat from the coronavirus



What that means in practice is that trading has deteriorated significantly since January 24 with comparable retail store sales having seen a deficit of between 40% and 50% over the last six weeks.

The company, whose financial year ends on March 28, had said in early February that its sales losses up to that point were predominantly in its Asian markets. But since then, trading in its stores in mainland China has started to improve. That said, sales in EMEIA and the Americas “have fallen materially in recent weeks”.

More than 60% of its stores in EMEIA and around 85% of its stores in the Americas are currently closed with those still open operating on reduced hours and “with very weak footfall”. Around 40% of its directly operated stores globally are closed with additional closures expected in the next few days.

As a result, the company is now expecting its comparable retail store sales in the final weeks of the year to be down by anything from 70% to 80%. And that means that Q4 as a whole will be down around 30%.

But the big question that arises in this situation is whether this represents an existential threat to the company, and it seems not. The luxury giant is “implementing mitigating actions to contain our costs and protect our financial position, underpinned by our strong balance sheet”.

That means renegotiating rents, restricting travel and reducing discretionary spending. But it has “significant financial headroom including liquidity of £0.9 billion from £0.6 billion cash balances (before lease obligations) and a £0.3 billion Revolving Credit Facility”.

CEO Marco Gobbetti said the firm remains “confident in the strength of our brand and our strategy. Until 24 January, the consumer response to the new product was very positive and as such, we are protecting key growth initiatives in preparation for a recovery in luxury demand”.

Copyright © 2021 FashionNetwork.com All rights reserved.