Amid continued financial challenges, Burberry has appointed Joshua Schulman as its new CEO.
- Burberry’s revenue has experienced a significant decline, falling by 22% in the first quarter of the fiscal year.
- The luxury brand’s store sales have plummeted across key regions, impacting its financial health.
- Burberry has suspended its dividend payments for the fiscal year 2024/25.
- The company aims to revitalize its brand under new leadership while maintaining its renowned creative heritage.
In a strategic move to address ongoing financial difficulties, Burberry has announced the appointment of Joshua Schulman as its new CEO following the immediate departure of Jonathan Akeroyd. Schulman brings extensive experience from his previous executive roles at renowned fashion brands such as Michael Kors, Coach, Jimmy Choo, Yves Saint Laurent, and Gucci, providing a strong foundation to steer Burberry towards recovery.
Burberry has reported disappointing financial results for the first quarter, recording a 22% decline in revenue to £458 million compared to the same period last year. This downturn reflects a challenging luxury market, with notable decreases in store sales across Asia-Pacific, the Americas, and the EMEA regions.
In response to these challenges, Burberry has decided to suspend its dividend payments for the fiscal year 2024/25, an indication of its stringent efforts to manage resources amid the economic turmoil. The decision aims to balance the brand’s offering to better align with its core customer base while introducing fresh, relevant products.
Gerry Murphy, chair of Burberry, is optimistic about the changes, stating that the actions taken, including cost-saving measures, are expected to yield improvements in the second half of the year. He highlighted Schulman’s “outstanding record” in growing global luxury brands as an asset to harness Burberry’s potential.
Joshua Schulman expressed his enthusiasm for leading Burberry, emphasising its unique blend of heritage and innovative spirit, and looks forward to working closely with the creative director, Daniel Lee. Schulman aspires to drive global growth and enhance customer satisfaction by continuing to evolve Burberry’s storied legacy.
Under the leadership of Joshua Schulman, Burberry aims to navigate its financial challenges and rejuvenate its brand identity.
