Barbour posts yearly profit increase despite revenue dip

Outerwear specialist Barbour has posted its accounts for the year to 30 April 2024, during which time the company welcomed a 5.4 million pound increase in gross profit. This came despite a notable 21.3 million pound decline in revenue, which significantly contrasts a 56.5 million pound increase in the year prior. Turnover for the period also fell, dropping 6.2 percent to 321.8 million pounds.

Despite this, Barbour said it remained confident in the “continued strength and resilience” of the company “relative to complex market performance”, among other aspects. It further noted that it wanted to remain “good value” for customers, however, “navigating profitably” had been challenging throughout the year.

Barbour to continue expanding commercial reach

While this may be the case, the company reported an operating profit increase of 5.2 million pounds to 39.6 million pounds, “driven by a focus on cost reductions and foreign exchange gains”. In light of global cost pressures, Barbour is to invest heavily in multiple areas to maintain service to customers. Its post-tax profit figure of 34.3 million pounds, however, “represents a strong performance” that supports “financial resilience”.

While not explicitly stating exact plans for expansion, Barbour’s report noted that it intended to “cautiously build long-term relationships” and expand commercial reach and ambitions in the coming period. It further plans to continue its selective approach to strategic product category development.

EEA was cited to still be an important market for Barbour, despite impact from Brexit. This, however, has remained a source of operational challenge for the company, which said that it would continue to review its structure, governance and operating model for the EEA region. Its ongoing growth and innovation strategy also considers the APAC region as a core international market.