Barbour FY23 profits fall despite healthy sales rise

Barbour has revealed that operating profits fell 15% to £34.3m for the year ended 30 April 2023, despite seeing sales increase by 20% year-on-year to £343m during the period.

The retailer attributed the dent in its operating profits to “intense cost pressures” on the business.

In February 2023, the luxury fashion retailer raised its prices in a bid to offset rising production costs. However, the business did not expect any further price rises. 

Despite cost pressures, the group’s rise in sales were thanks to brand collaborations with Ganni and Erdem, which were said to be particularly well-received by Gen Z shoppers. 

During 2023, the group also collaborated with Balzac Paris, created an upcycled collection with Gucci, and worked with fashion label Chloe and model Alexa Chung.

Steve Buck, managing director of Barbour, said: “The ongoing aftermath of the pandemic can still be seen in our supply chain and the economic fallout resulting from the cost of living crisis, war in Ukraine, uncertainty across global markets, intense cost pressures, in particular exchange rate pressure and competition for volatile demand remaining high, have all presented numerous challenges to margins across all channels and markets.

“Offering good value to our consumers is paramount and as a consequence; we have not raised our prices in line with the cost increases we are experiencing.”

Founded in 1894, Barbour remains a family business, under the leadership of Dame Margaret Barbour.