Barbour paid its founding family £30 million in dividends for the year up to April 2024 after an increase in operating profits of 15%.
With its origins going all the way back to the North East of England in 1894, Barbour’s heritage really is one of a kind. Originally founded by John Barbour, it was actually John’s grandson who developed the brand’s signature waxed cotton fabric for motorcycle uniforms. The durable waxed cotton fabric was robust and water repellent making it ideal for speedy road use. With various sub-labels such as Heritage & International, Barbour’s waxed cotton wares have been seen on everyone from the late Princess Diana to Liam Gallagher. Recent collaborations have seen the South Shields label team up with the likes of Engineered Garments, C.P. Company, Baracuta & Noah to name a few, breathing a new lease of “hyped” life into the highly respected heritage label. For the year up to April 2024, Barbour have reported operating profits of £39.5 million, which were up 15% compared to the previous year.
With the ongoing retail headwinds & the cost of living crisis, Barbour stated their UK wholesale market had been impacted due to several store closures. Thanks to clever cost cutting & foreign exchange gains the South Shields based brand were able to increase their operating profits by 15% despite a 6% decrease in turnover which fell from £343 million to £322 million compared to the previous year. Barbour also paid its founding family £30 million in dividends. With an increasing demand in the Asia-Pacific region, the heritage brand also opened a brand new fulfilment centre in Singapore.
Twelve months ago, we anticipated that global markets would be very challenging and made the decision to focus on high-quality, profitable sales. This strategy has worked very well in generating strong demand for the brand with increased efficiency and profits. This approach is very much in line with the long-term view taken by the business. While demand for our brands has remained strong, there has been a general retraction in the UK wholesale market with several major retail and ecommerce closures. We have worked closely with all of our wholesale partners to focus on building quality, profitable sales during this time. This strategy has also set the brand up very well for future growth, which we are already beginning to see.
Steve Buck, Group Managing Director Barbour
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