Mulberry is experiencing London stores returning and increasing sales in the UK

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hares in Mulberry rose more than 22% earlier after the handbag maker returned to profit, saying it was well prepared for Christmas and pointing to a revival in central London.

The luxury accessory group, which counts Mike Ashley’s Frasers Group among its shareholders, is one of many brands that saw sales in the capital and elsewhere, hit by lockdowns and a dip in the number of tourists and office workers due to travel restrictions.

But it said today that in the six months to September 25, revenue rose 34% to £ 65.7 million, returning to pre-Covid levels.

UK retail sales at the company, which launched a new sustainable bag collection earlier this week, increased UK sales by 36% to £ 38 million.

Mulberry also reported a pre-tax profit of £ 10.2 million compared to a loss of £ 2.4 million a year earlier.

In addition, AIM-listed retailer chief Thierry Andretta told the Evening Standard that central London, since April, when stores reopened, was “slightly higher” compared to the same period in 2019.

Mulberry imported some raw materials earlier than usual to make production at its Somerset factories less exposed to supply chain challenges.

Shares rose 68p to 370p.

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