Harrods sales shot up by 47% to £2.3 billion in its first full year with doors open following the pandemic.
In the financial year ended January 28, 2023, the Knightsbridge institution’s gross transaction value (the amount of money going through the tills) hit record levels.
Sales accrue to brands with consignments in the store, whose payments to Harrods make up its turnover.
This turnover rose by 43% to £832 million.
Operating profit almost trebled in the financial year from £55.5 million in FY22 to £158 million in FY23.
Luxury retailers, particularly in London, have been lobbying for the government to restore VAT-free shopping for overseas shoppers, arguing that it is impacting both the number of tourists coming to the UK, and the amount they spend while here.
Harrods appears to be bucking this trend, stating: “The increase in turnover reflected the store opening for the full year versus the [10 week] closures in the prior year and a strong recovery in trade as the impact of the pandemic subsided and both local and overseas customers returned”.
