Burberry又要靠奥特莱斯清货了

Core Viewpoint - Burberry's proactive price reduction strategy has led to a significant recovery in its stock price, increasing over 70% since mid-April, despite facing severe challenges in the luxury goods sector [3][4]. Financial Performance - For the fiscal year 2025, Burberry reported revenues of £2.461 billion, a 17% decrease year-on-year, with adjusted operating profit dropping 94% to £26 million [4][5]. - Compared to fiscal year 2024, Burberry's performance worsened, with revenues down 4% to £2.968 billion and adjusted operating profit down 34% to £418 million [5]. - Comparable store sales fell by 12% in fiscal year 2025, with the Asia-Pacific market experiencing a 16% decline, particularly in mainland China and South Korea, which saw drops of 15% and 18% respectively [6][8]. Strategic Changes - Under the new CEO Joshua Schulman, Burberry has shifted its strategy to focus on classic products and reduce prices, moving away from previous high-end strategies [10][11]. - The company plans to cut approximately 1,700 jobs, which is nearly 20% of its global workforce, aiming to save £60 million by fiscal year 2027 [10]. - The fourth quarter of fiscal year 2025 showed a narrowing decline in comparable store sales to 6%, better than the market expectation of 7.78% [9]. Market Dynamics - Japan was the only market to show growth for Burberry, with a slight increase of 1%, primarily driven by spending from Chinese tourists [7]. - The luxury market is seeing a shift where consumers are increasingly favoring value-for-money products, leading to a decline in full-price sales channels [19]. - Outlet sales have grown by 1% to 5%, indicating a strong performance in discount channels, which are becoming essential for luxury brands [19]. Inventory and Profitability - Burberry is facing significant inventory challenges, with a reported 7% decrease in total inventory at constant exchange rates [20]. - The company's gross margin for the fiscal year was 62.5%, down 470 basis points at constant exchange rates, primarily due to actions taken to address inventory overhang [20]. - The reliance on outlet sales may dilute Burberry's high-end brand image, potentially affecting its long-term sales and brand perception [21].