The British maker of luxury Mulberry handbags saw its share fall on the London Stock Exchange Monday after announcing that its annual profit could suffer from the difficulties on the UK market, including the placement in a department store curator. House of Fraser.
The stock lost Monday 17.58% to 457.60 pence at 8:25 GMT, causing the decline since the beginning of the year to fall to more than 55% to the lowest level since 2010. A decline that will continue on the day , the closing price was set at 400 pence yesterday. This Tuesday morning the action rose slightly to exchange against 430 pence at 10 am GMT.
In a statement issued yesterday before the opening of the stock exchange, Mulberry explained that the problems of the department store chain House of Fraser, in which he holds 21 concessions, will cost him three million pounds ($ 3.35 million). euro). "Since the group's latest publication in June 2018, the UK market has remained difficult and sales in House of Fraser's stores have been particularly affected," he adds.
"If sales trends in the UK continue during the main period of the second half of the year, the Group's profit over the year will be significantly reduced."
Mulberry said that the UK-based company remains largely in line with expectations and strong cash flow.
The department store brand House of Fraser was bought at the beginning of the month by the retail distributor Sports Direct for £ 90 million after the failure of a rescue plan supported by the Chinese group C.Banner. According to the press, Sports Direct plans to pay only the sold goods to suppliers and dealers, since they have taken over the company.
Mulberry had a value of 341 million pounds at the closing price of Friday (569 pence).
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