Burberry set to cut dividend payouts
According to The Sunday Times, the retailer's final payout would be 22.5p, down from 31.5p and bringing an end to their 10-year run of annual dividend growth.
Last year’s full dividend cost Burberry £171 million.
Russ Mould, Investment Director at AJ Bell, told The Sunday Times that analysts were "forecasting a full-year dividend payment of 33.8p, down from 42.5p last year".
The premium fashion retailer is also reportedly in talks with investors about changes to the way in which Executive Management members are paid, including Chief Executive Marco Gobbetti.
Proposals include replacing the traditional long-term incentive plan with a restricted share plan, where a lower number of shares are awarded but often without performance criteria detailed.
In the last month, Burberry have established their support for a sustainable fashion future, launching a curated edit of 26 styles from the Spring/Summer 2020 collection, crafted from sustainable materials used across the Burberry product range.
The company has confirmed that it has so far donated 100,000 items of PPE to the NHS and said it “will not rely on government support for jobs in the UK”, where one third of its workforce are based.