High-end fashion retailer Mulberry today axed its dividend after a poor performance over the past 12 months.
Mulberry - whose handbags are a favourite of the Duchess of Cambridge, left, and celebrities like Kate Moss - blamed the coronavirus outbreak for sales tumbling 10% and losses widening to £48 million from £5 million the year before.
Luxury retailers have struggled during the pandemic as wealthy overseas shoppers from China, the US and the Middle East stay at home and choose to save their money rather than spend.
Chief executive Thierry Andretta said: “We cannot escape the reality that British luxury faces a very uncertain future, hampered by necessary but dramatic social distancing measures and alarmingly low levels of footfall as well as the pressures of high rents and business rates and the upcoming changes to tax-free shopping.”
