**Harrods Rebounds in Latest Year as Pandemic Becomes More Distant Memory**.
**London, United Kingdom** – Harrods, the iconic luxury department store, has reported a strong recovery in its latest financial year as the impact of the COVID-19 pandemic continues to diminish..
For the year ended January 28, 2023, Harrods saw its revenue increase by 20% to £2.1 billion (US$2.5 billion). This growth was driven by a surge in both domestic and international spending, with tourists returning to the store in significant numbers..
Online sales also continued to perform well, accounting for 25% of total revenue. Harrods attributed this growth to its ongoing investment in its digital platform and its ability to offer customers a seamless omnichannel experience..
The store’s gross profit margin also improved during the year, rising to 59.5% from 58.9% in the previous year. This was due to a combination of factors, including increased sales of high-margin luxury goods and cost-cutting initiatives..
As a result of these positive results, Harrods saw its operating profit increase by 35% to £215 million (US$257 million). This marked a significant improvement from the previous year, when operating profit had declined by 26%..
The company’s net profit also increased, rising by 17% to £144 million (US$172 million). This was due to a combination of the higher operating profit and a reduction in net finance costs..
**Key Growth Drivers**.
Harrods identified a number of key growth drivers for the year, including:.
* The return of international tourists, who accounted for 60% of total sales in the year..
* Strong performance from the fashion and beauty categories, which saw sales growth of 25% and 20%, respectively..
* The continued growth of online sales, which now account for a quarter of total revenue..
* The successful launch of new initiatives, such as the Harrods Personal Shopping app and the Harrods Dining Hall..
**Outlook**.
Harrods CEO Michael Ward expressed optimism about the company’s future prospects, stating that .
