4.69%Burberry (BRBY.L) stock rallies as the luxury British label confirms it’s looking to cut 20% of its global workforce by 2027 as part of its ongoing cost cutting plans.
You could say its been a bit of a rocky road for the British luxury label Burberry over the last 12 months. Back in October 2024 we reported that Burberry had been booted off the FTSE100 following a decline in sales & consumer confidence with the publicly traded company losing 70% of their overall value over the last 12 months. With rumours of a Moncler takeover, which could still potentially be on the cards, Joshua Schulman joined Burberry last summer & was tasked with reducing the luxury British brand’s decline in sales as well as restoring the company’s profitability amidst the current luxury clothing headwinds. The British luxury brand’s latest financials for the 52 weeks up to 29th March 2025 showed an operating loss of £3 million with speculation now around further job losses. A stark contrast from the £418 million profit compared to the previous year.
Shares in Burberry (BRBY.L) however were up 17% today as the brand confirmed is was looking to cut 20% of its global workforce by 2027 as part of its ongoing cost cutting plans. Ironically, total sales for the brand for the year were down by 17% to £2.5 billion compared to the same period last year. Retails sales for the final quarter were down 6% and overall sales for the quarter were also down by 12%. Moving forward, Burberry expects to save an additional £60 million by 2027 with its intended job cuts as part of the bigger plan to annually save £100 million. Also don’t forget to subscribe to Sneaker Jobs & follow @sneaker_jobs to keep up to date with all the latest industry news.
After a challenging first half, we have moved at pace to implement Burberry Forward, our strategic plan to reignite brand desire, improve our performance and drive long-term value creation. Our customers are responding to our timeless British luxury brand expression. With improvement in brand sentiment, we will be ramping up the frequency and reach of our campaigns as our autumn and winter collections arrive in store. While we are operating against a difficult macroeconomic backdrop and are still in the early stages of our turnaround, I am more optimistic than ever that Burberry’s best days are ahead and that we will deliver sustainable profitable growth over time.
Joshua Schulman – CEO Burberry
