Handbag brand Mulberry confirms profit squeeze

Luxury goods brand Mulberry has seen a fall of 4% in wholesale sales in the half year to September.

Famous for their leather bags, the British company warned in October that profits would drop due to less international demand, particularly in orders from Asia.

Mulberry also revealed a squeeze in its profit margins, due to the cost of employing higher quality materials and manufacturing techniques for its goods.

The company has plans to help revitalise revenue growth, including the opening of a new UK own brand store.

Jeremy Howell reports.

Mulberry confirms profit squeeze