The model stated it wished to extend effectivity of spend in procurement and actual property, and cut back people-related prices, which may influence round 1,700 roles globally over the lifetime of the programme, topic to session the place relevant.
Further cuts come on prime of a beforehand introduced £40m cost-savings programme, bringing mixed annualised financial savings to £100m by full yr 2027.
The announcement got here as Burberry revealed second half earnings for 2024/25 offset losses within the first half. Adjusted working revenue was £26m, with a £67m revenue within the second half offsetting a £41m loss within the first half.
CEO Joshua Schulman stated he was “extra optimistic than ever that Burberry’s greatest days are forward” because the model revealed gross sales for the 52-week interval have been down 17% to £2.46bn on reported change charges.
It made an working lack of £3m in contrast with a £418m revenue the yr earlier than.
Outerwear and scarves continued to carry out higher than the group common. Prepared-to-wear carried out broadly consistent with the group common and leather-based items lagged the group common within the yr and quarter 4, Burberry stated within the replace.
“The continued resilience of our outerwear and scarf classes reaffirms my perception that we’ve got essentially the most alternative the place we’ve got essentially the most authenticity,” stated CEO Schulman.
The “Burberry Ahead” technique, launched in November 2024, “to reset the model storytelling, improve visible merchandising in shops and on-line, and align product focus to our core classes,” had resulted in a big enchancment to comparable retail gross sales within the second half relative to the primary half, it stated.
“This offers us confidence that our strategic plan is the appropriate path ahead.”
The present macroeconomic surroundings had change into extra unsure in mild of geopolitical developments, it added.
Following a collection of “disappointing losses” in 2024, Burberry made important adjustments in its government management workforce, changing CEO of two years Jonathan Akeroyd with former Michael Kors CEO Joshua Schulman in July 2024.
In September 2024, the enterprise was relegated from the FTSE 100. The corporate’s share worth had fallen 71.5% previously yr to 623p as of 4 September 2024.
Burberry opened 26 shops within the newest monetary yr and closed 26, with 422 instantly operated shops at 29 March 2025.
