Burberry sees Q4 improvement despite loss-making year, big job cuts are announced
It presented the Winter 25 runway show at Tate Britain that celebrated its 'iconic brand codes and our hero categories, resulting in a significant improvement in brand sentiment and engagement'.
And it initiated a 'rebalancing' of the product offer 'with fewer, bigger ideas' and 'aligned pricing with category authority in a luxury context'. The company also enhanced VM in stores with more mannequins and improved product densities, as well as launching a scarf bar pilot.
It also updated styling online, introducing new digital innovations to 'broaden appeal, delivering a step change in performance'.
Additionally, the brand strengthened alignment between its commercial and creative teams and 'evolved' its operating model 'to drive simplification, increase agility and improve productivity'.
Of course, in any reset, it's not easy to draw a line under the old strategy but the company said it accelerated actions to address its inventory overhang and 'restore scarcity' resulting in gross inventory of -7% CER as of March 2025, ahead of guidance.
It also initiated a cost savings programme with £24 million delivered in FY25. As part of this ongoing commitment, on Wednesday said it was 'announcing organisational changes aimed at enhancing collaboration across our business, increasing our agility, driving efficiency and profitability while protecting our investment in consumer-facing areas'.
The announcement was short on detail but it expects its proposed changes to 'unlock an additional £60 million of savings by FY27, enabling us to continue to fund our biggest growth opportunities'. With other cost cuts announced earlier, it should bring the combined annualised savings to £100 million by FY27.
It expects these proposed incremental savings to come from operating expenses, with increased efficiency of spend in procurement and real estate, plus a big wave of job cuts affecting up to 1,700 people globally over the life of the programme. That's a massive slice of its global workforce, about which we'll clearly hear more in the quarters to come.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Fashion Network
14-05-2025
- Fashion Network
Burberry sees Q4 improvement despite loss-making year, big job cuts are announced
It presented the Winter 25 runway show at Tate Britain that celebrated its 'iconic brand codes and our hero categories, resulting in a significant improvement in brand sentiment and engagement'. And it initiated a 'rebalancing' of the product offer 'with fewer, bigger ideas' and 'aligned pricing with category authority in a luxury context'. The company also enhanced VM in stores with more mannequins and improved product densities, as well as launching a scarf bar pilot. It also updated styling online, introducing new digital innovations to 'broaden appeal, delivering a step change in performance'. Additionally, the brand strengthened alignment between its commercial and creative teams and 'evolved' its operating model 'to drive simplification, increase agility and improve productivity'. Of course, in any reset, it's not easy to draw a line under the old strategy but the company said it accelerated actions to address its inventory overhang and 'restore scarcity' resulting in gross inventory of -7% CER as of March 2025, ahead of guidance. It also initiated a cost savings programme with £24 million delivered in FY25. As part of this ongoing commitment, on Wednesday said it was 'announcing organisational changes aimed at enhancing collaboration across our business, increasing our agility, driving efficiency and profitability while protecting our investment in consumer-facing areas'. The announcement was short on detail but it expects its proposed changes to 'unlock an additional £60 million of savings by FY27, enabling us to continue to fund our biggest growth opportunities'. With other cost cuts announced earlier, it should bring the combined annualised savings to £100 million by FY27. It expects these proposed incremental savings to come from operating expenses, with increased efficiency of spend in procurement and real estate, plus a big wave of job cuts affecting up to 1,700 people globally over the life of the programme. That's a massive slice of its global workforce, about which we'll clearly hear more in the quarters to come.
Fashion Network
14-05-2025
- Fashion Network
Burberry sees Q4 improvement despite loss-making year, big job cuts are announced
It presented the Winter 25 runway show at Tate Britain that celebrated its 'iconic brand codes and our hero categories, resulting in a significant improvement in brand sentiment and engagement'. And it initiated a 'rebalancing' of the product offer 'with fewer, bigger ideas' and 'aligned pricing with category authority in a luxury context'. The company also enhanced VM in stores with more mannequins and improved product densities, as well as launching a scarf bar pilot. It also updated styling online, introducing new digital innovations to 'broaden appeal, delivering a step change in performance'. Additionally, the brand strengthened alignment between its commercial and creative teams and 'evolved' its operating model 'to drive simplification, increase agility and improve productivity'. Of course, in any reset, it's not easy to draw a line under the old strategy but the company said it accelerated actions to address its inventory overhang and 'restore scarcity' resulting in gross inventory of -7% CER as of March 2025, ahead of guidance. It also initiated a cost savings programme with £24 million delivered in FY25. As part of this ongoing commitment, on Wednesday said it was 'announcing organisational changes aimed at enhancing collaboration across our business, increasing our agility, driving efficiency and profitability while protecting our investment in consumer-facing areas'. The announcement was short on detail but it expects its proposed changes to 'unlock an additional £60 million of savings by FY27, enabling us to continue to fund our biggest growth opportunities'. With other cost cuts announced earlier, it should bring the combined annualised savings to £100 million by FY27. It expects these proposed incremental savings to come from operating expenses, with increased efficiency of spend in procurement and real estate, plus a big wave of job cuts affecting up to 1,700 people globally over the life of the programme. That's a massive slice of its global workforce, about which we'll clearly hear more in the quarters to come.
Fashion Network
14-05-2025
- Fashion Network
Burberry sees Q4 improvement despite loss-making year, big job cuts are announced
It presented the Winter 25 runway show at Tate Britain that celebrated its 'iconic brand codes and our hero categories, resulting in a significant improvement in brand sentiment and engagement'. And it initiated a 'rebalancing' of the product offer 'with fewer, bigger ideas' and 'aligned pricing with category authority in a luxury context'. The company also enhanced VM in stores with more mannequins and improved product densities, as well as launching a scarf bar pilot. It also updated styling online, introducing new digital innovations to 'broaden appeal, delivering a step change in performance'. Additionally, the brand strengthened alignment between its commercial and creative teams and 'evolved' its operating model 'to drive simplification, increase agility and improve productivity'. Of course, in any reset, it's not easy to draw a line under the old strategy but the company said it accelerated actions to address its inventory overhang and 'restore scarcity' resulting in gross inventory of -7% CER as of March 2025, ahead of guidance. It also initiated a cost savings programme with £24 million delivered in FY25. As part of this ongoing commitment, on Wednesday said it was 'announcing organisational changes aimed at enhancing collaboration across our business, increasing our agility, driving efficiency and profitability while protecting our investment in consumer-facing areas'. The announcement was short on detail but it expects its proposed changes to 'unlock an additional £60 million of savings by FY27, enabling us to continue to fund our biggest growth opportunities'. With other cost cuts announced earlier, it should bring the combined annualised savings to £100 million by FY27. It expects these proposed incremental savings to come from operating expenses, with increased efficiency of spend in procurement and real estate, plus a big wave of job cuts affecting up to 1,700 people globally over the life of the programme. That's a massive slice of its global workforce, about which we'll clearly hear more in the quarters to come.
