Good morning, everyone, and thank you for joining us for Burberry's preliminary results presentation. In terms of our agenda today, our presentation will be structured into three chapters before moving on to Q&A. I will start with a review of the first phase of our strategy, then cover our vision and plans for the next phase. After this, you will hear from Julie, who will cover our financial results and guidance. I want to start today's presentation with a review of the first phase of our strategy and what we have achieved to date. Fiscal year 2021 has been an exceptional year, with the COVID-19 outbreak continuing to impact livelihoods and industries globally. In the last 12 months, we have focused on prioritizing the safety and wellbeing of our colleagues, partners, and customers, contributing to the relief efforts to support our communities globally, continuing to create a more sustainable future for luxury through our ambitious sustainability agenda, and protecting our business to deliver a strong financial performance. Stepping back to three years ago, in 2017, we announced our vision for Burberry. Our goal was to firmly establish our position in luxury fashion and to inspire customers with our unique British attitude. We set out two phases to reach our vision with clear objectives for the first phase. We wanted to reenergize our brand, renew our product, evolve our communications, and transform the customer experience. We also set out to maintain sales and profit broadly stable while undergoing this transition. I'm pleased to say that in the last three years, we achieved what we set out to do and transformed our business. Starting with communications. In 2017, we said that we would reenergize the brand by placing product at the heart of our communications, reimagining content with a curated, edited approach, and investing in meaningful experiences. We have achieved this by completely redefining our brand image, renewing all brand touchpoints, and elevating our position towards luxury and fashion. One of the very first steps we took was to redefine our brand image, and we did this by refreshing our logo and creating the TB Monogram, along with introducing new house codes, which gave new energy to our brand. We presented our new collections in fresh and exciting ways. For example, by showing our spring-summer 2021 collection outdoors in a beautiful English forest, and by introducing dedicated men's and women's presentations for autumn-winter 2021, which we made available for everyone to experience digitally during lockdowns. Throughout this journey, we focused on the most relevant channels for the luxury consumer, particularly social media, through video-led content and activations on Instagram, WeChat, and TikTok, as well as occasionally surprising our audiences in totally unexpected ways. We also amplified our brand voice through others, including culturally relevant influencers and communities that have been advocates for our brand and impactful press titles across every region. As a result, we have elevated the brand and significantly increased our visibility and engagement with luxury consumers. On social media, for example, which is a good indicator of brand heat, we've seen continuous traction. On Instagram, where we have achieved double-digit growth in both earned reach and engagement, and on WeChat, where our reach has also grown double digits and our engagement levels by triple-digit. In terms of product, our ambition was to renew our offer by increasing fashion content, injecting newness, and transforming leather goods. In the last three years, under Riccardo's new creative direction, we have achieved these objectives, transforming ready-to-wear to a new elevated fashion offer, building our leather goods business, diversifying outerwear in line with luxury consumers' preferences, as well as rebuilding our evergreen offer. In ready-to-wear, we elevated our collections, presenting a more luxury and fashion-forward offer, upgrading our products with higher quality materials, supporting higher price points. Additionally, we diversified and elevated outerwear, transitioning from a largely cotton-based offer to luxury pieces with a higher share of technical and eco fabrics, such as nylon, down, and quilt. In terms of leather goods, we also made a significant transition. In fiscal year 2017-2018, our top-selling handbags were the Banner, the Rucksack, and the Buckle Tote, a basic offer with an entry price proposition. Today, our top-selling handbags are the TB, Lola, Pocket, and Title. You can see these shapes represent a real luxury leather offer, with a step change in quality of materials, hardware, and finishing, supporting higher prices. They are also distinctive shapes, covering different functionalities, which are resonating well with consumers, like Pocket, which has received great response from our younger customers. More recently, we have introduced Olympia, first revealed on the autumn-winter 2020 runway, and named after Olympia, London, where the show took place. It's a unique, recognizable shape with its crescent curve and made in beautiful calf leather. Thanks to the integration of Burberry Manifattura, we have achieved high quality and speed in delivery, resulting in margin improvement for this category. Through our efforts, we have seen great tractions and sales growth in our core categories: leather goods and outerwear. As you can see from these charts, performance has been strong, particularly in the last two quarters of fiscal year 2021, with double-digit growth in full price sales for leather goods and outerwear. Since these are our highest AUR categories, as a result, we have seen an improvement in AUR every year, with high single-digit growth across mainline and digital last year. In terms of distribution, in 2017, we said we would transform the distribution experience by reducing exposure to non-luxury channels, building a luxury network in line with our brand, upgrading our stores, and transforming the in-store experience. In the last three years, we have reset our distribution focusing on luxury doors, upgraded our stores' look and feel, and introduced a new store concept, transformed our store experience, and launched industry-leading digital innovation. We reset our distribution network in two phases. This allowed us to shift our network to a higher quality base while maintaining stable revenue and profit. In phase I, we exited non-luxury wholesale accounts and doors in EMEA and Americas, closed non-strategic stores, opened new stores in luxury locations, and refreshed our stores' look and feel in line with our new brand image. In phase II, we took steps to reduce markdown activities and designed a new store concept, which embodies our updated brand image. The images you see here illustrate our old store format and the step change we have achieved in look and feel by creating new luxury omni-channel spaces supported by impactful windows and visual merchandising activations. In digital, over the last three years, we launched multiple industry-leading innovations, securing our leadership position in this space. We reimagined burberry.com with a strong focus on product storytelling and inspiration and inspire consumers with our activations and games. We launched our Social Retail pilot in Shenzhen Bay, bridging social and physical channels to innovate the way customers experience and shop our brand, and focused on creating a seamless integration of our online and offline customer journeys. Additionally, we partner with growing digital platforms to reach digital multi-brand consumers. As a result, from a strong base, we have achieved double-digit growth in full price digital sales in the first three quarters of fiscal year 2021, and triple-digit growth in the last quarter. As a result of these efforts, we have set solid foundations and have built a new Burberry. First and foremost, we have repositioned the brand with external consumer research confirming that our brand is now firmly considered as luxury. We have attracted a new customer, gaining traction with young, influential, fashion-forward consumers, while at the same time, driving growth in our existing customer base. Importantly, in the last year, we have seen traction with our local customers, thanks to innovative selling formats during lockdowns. We have built a high-quality business, both in terms of revenue, where growth is being driven by full price sales. You can see from the chart the momentum we have been having over the past couple quarters. In terms of profit, with good progress in gross margin, now broadly in line with pre-transition levels. Performance has been strong across the key regions for luxury. In China, we delivered strong double-digit growth every quarter last year, well above industry average, through our significant local efforts. You can see some examples here of our dedicated Lunar Year campaign and capsule, as well as our digital activations with Tmall and Tencent. In the U.S., we have also seen strong performance, again, above industry average, which has been supported by our focus on building cultural relevance, content partnerships, and visibility with key global influencers. Throughout the transition, we have focused on building a sustainable future with significant progress across three areas: colleagues, communities, and environment. Starting with the environment, I'm pleased to say that by the end of this year, we will have a carbon neutral footprint across all of our operations at Burberry. In terms of our colleagues, we have built a diverse, equitable, and inclusive organization that has been recognized in the latest Bloomberg Gender-Equality Index and Hampton-Alexander Review. In terms of communities, we're really proud of the contribution we made to COVID-19 relief efforts, as well as the partnership we have developed with Marcus Rashford and charities supporting youth across the globe. As you have seen over the last few slides, we are now successfully through our transformation. With new solid foundations, are now into the next chapter of our strategy. This next chapter is about growth acceleration. In this section, I want to outline what our ambitions are and how we will achieve them. In this next phase, we will leverage our unique brand to create significant value, delivering not only growth, but a step change in the quality and composition of this growth. Let me outline the framework we are using to describe this next phase. Sitting above everything is our brand, which we will continue to energize and strengthen throughout. We will also accelerate revenue growth, driven by high-quality full price sales. We will deliver meaningful margin expansion and free cash generation. Finally, we will continue to be a force for good in the world, driving positive change for our colleagues, our communities, and our environment. Burberry is a unique, powerful brand with deep roots that set us apart from our peers, grounded in our rich heritage and the founding principles of our founder, Thomas Burberry. Through time, the Burberry brand has represented true luxury, committed to sustainability from our earliest days, from Britain to the world, in the outdoors and beyond. We are unexpected innovators with purpose-driven values inspired by our founder. These unique credentials shape what we want to be known for in the minds of consumers. A true luxury fashion house, creators of beautiful, iconic products with a relentless focus on quality and craft. A beacon of creativity, imagination, and innovation. Authentic, the definitive luxury outerwear pioneer. A modern brand upholding our rich heritage and bringing a uniquely British perspective. A values-driven brand with a strong purpose, guided by the spirit of our founder. Committed to doing the right thing, from championing our community to protecting the environment. Throughout this next phase, we will continue to energize and strengthen the brand, ensuring the consumer sees us as I just described. Turning to revenue, we will drive revenue acceleration through five key levers: Building brand advocacy and community, focusing on core categories, driving store performance, supercharging digital sales, and focusing on full price. In the next pages, I will outline our ambition and areas of focus for each lever, including how each of these will contribute to accelerating our revenue growth. Starting with building brand advocacy and community, our ambition for this next chapter is to excite and inspire the influential luxury consumers, the fashion vanguards, fostering a strong Burberry community. Today, Burberry is a highly relevant brand that all luxury consumers know and consider. The next step for us is to build strong affinity and advocacy for our brand, this is the key to unlock growth. To drive this, we will focus on four areas: strengthening the emotional connection with our community with authentic luxury storytelling, leveraging our strong network of local and global Burberry communities, editorial partners, and influencers to amplify our brand, driving reach and engagement through new social first content and formats, and creating unexpected, memorable brand experiences that unite and excite our customers. These actions will drive revenue by fueling demand and increasing our pricing power. This ambition and focus have underpinned our latest campaign, launching next week, which celebrates our newest bag shape, the Olympia. The campaign will feature a globally recognizable and diverse talent. Will tell a story of luxury with quality and craft at the heart in a way that is creative and innovative. We will leverage our communities to create inspirational content to support storytelling. Large-scale installation in key luxury destinations will complement the campaign, manifesting our craft story on an epic scale. We will also drive revenue through a strong focus on our core categories. Our ambition is to leverage the strong, elevated offer we have built over the past few years, maintaining focus and innovation around our anchors, outerwear, and leather goods. Our priorities in this next phase will be in five areas. First, expanding our accessories pillars in leather goods. Second, building and owning fabric innovation in outerwear, focusing on luxury performance, and leveraging our own technical gabardine fabric. Third, developing a strong position in everyday beautiful ready-to-wear, focusing on 360 quality. Fourth, increasing our focus on shoes, a key category for customer acquisition. Lastly, continuing to build on our replenishment offer. These actions will drive revenue growth as the new offer will accelerate demand. The focus on higher AUR categories drives higher transaction values, and the development of our replenishment offer increases stock availability. Activities are already underway to deliver on our product ambition in this next phase. As an example, in leather goods, we will celebrate our key shapes through a program of over 70 pop-ups and in-store pop-ins in high-visibility locations launching this month, including Harrods, which you can see in a preview image here. They will feature 68 leather goods options across our handbag pillars, including TB and Pocket, and celebrate our newest shape, the Olympia. In this next phase, we will also continue to drive our stores' performance by creating a luxury omni-channel experience that attracts and continuously engages customers. We will do this through four key priorities. Rolling out our new store concept and experience. Taking a lead position in omni-channel, including continuing to develop and scale our Social Retail concept. Rapidly scaling outreach to drive appointments and introducing bespoke clienteling formats. Focusing on local customers, driving customer acquisition, supported by locally relevant content and experiences. These actions will drive revenue growth by attracting new customers to the brand and driving a significant improvement in sales density. Our new store concept rollout has started at pace, with five stores open since the beginning of the new fiscal year, including Shinsegae Times Square in Korea, SKP Accessories in Beijing, and Umeda Hankyu Accessories in Osaka. Sloane Street, which is opening in June, will be the first flagship built with the new concept. The space will embody our luxury positioning and is a drastic step change versus our old format, as you can see here from these preview images. The rollout of the new store concept will continue at pace over the course of the year, with 55 stores planned in fiscal year 2022, the majority of which will be in the Asia Pacific region. We will also continue to create immersive in-store experiences to inspire and engage our customers. Building on our test lab Social Retail store in Shenzhen, we plan to scale successful experiences and activations across our store network globally over the year. The fourth lever to drive revenue growth is digital. In this next phase, we have a bold ambition to remain the digital pioneer in luxury, building on our robust digital foundations and credentials. To supercharge digital sales, we have plans in place to drive qualified traffic to our digital owned channels through increased focus on inspiration and precision marketing, significantly scale customer recruitment through data partnerships, step change conversion through digital product assortment, personalization, and localization, strengthen our clienteling capabilities to cultivate and retain our digital customers, boosting their lifetime value, and deepen our relationship with third-party digital partners. Through these actions, we will drive revenue growth by attracting new customers to the brand and accelerating digital sales, both on owned and third-party channels, capturing the increased demand in the industry. As an example of our progress on our digital ambition, our leather goods program in May will be supported on burberry.com by the launch of the handbag hub, an interface offering the experience of our pop-ups virtually. The final lever to revenue growth is our focus on full price. Building on our progress this year, we will exit markdowns in mainline stores in fiscal 2022 while focusing on full price channels. This will enable us to further strengthen our brand and increase AUR, driving high-quality revenue growth. Moving now to the bottom line. In the next phase, we will also drive profit growth through five key levers. Gross margin strength through pricing and replenishment, full price penetration, sales density, digital penetration, and continued cost control. This margin expansion will drive good operational gearing as we maintain cost discipline, while at the same time enable us to reinvest in critical areas for future growth, consumer-facing activities, digital and ESG. Our strategy in the next phase will be underpinned by a number of important enablers, including an agile supply chain that delivers exceptional quality and service. Investing in consumer-led technology that allows us to enhance the customer experience. Attracting and retaining diverse world-class teams while fostering a strong culture of inclusion and belonging, and maintaining operational efficiency. Throughout, in the next phase, we will be relentless in our focus on ESG. This is the purest expression of our values, and we are committed to building not only a financially stronger Burberry, but also a better company by fueling the creativity of our people, by championing diversity and inclusion, and supporting their wellbeing. Empowering young people in our communities by providing them with the skills, confidence, and opportunities to succeed, and creating a more sustainable future for luxury by reducing our environmental impacts and helping transform our industry. Today's customers, colleagues, communities, and investors rightly expect more. Building on the progress we have made so far, we will accelerate our investment in ESG-related initiatives and raise our ambitions. Something you will hear more about in the coming months. To summarize our ambition for the next phase, I would like to highlight our medium-term targets. In terms of revenue, we expect to deliver high single-digit growth from our fiscal 2020 base, with overperformance of full price. In terms of profit, we expect meaningful margin accretion. From a cash perspective, we will reinstate a dividend for fiscal 2021, and a progressive dividend policy thereafter. Finally, in terms of ESG, we expect to achieve three goals. Diversity and inclusion leadership, positively impacting 1 million people, and become 100% carbon neutral. To conclude, I want to leave you with a simple statement about the vision we have for Burberry. The leading British luxury brand, delivering sustainable, high-quality growth and value for our stakeholders and communities. Over to you, Julie. Thank you, Marco. I will now take you through the financials and guidance. We will start by recapping on our objectives we set out in November 2017. The targets were to hold revenue and earnings broadly stable for two years as we built the foundation for growth. Investment in both product and distribution will be financed with the benefits of a cost-saving program. We've achieved this. The first two years were broadly in line with plan, and in fact, would have been ahead of our target had it not been for COVID impacting the final quarter last year. We delivered cost savings ahead of the original guidance of GBP 150 million, and we've since brought cumulative benefits to GBP 185 million, including the COVID-related program. As Marco mentioned, whilst the targeted acceleration in revenue was disrupted this year, we used this period to strengthen the brand further and drive full price sales. We have built a better quality business and with improved revenue and earnings composition. We also set up a robust financing platform with an investment-grade credit rating, and we were the first luxury fashion company to issue a Sustainability Bond. We managed the COVID crisis well, produced a good financial outcome in the year, and we were well on track to see good acceleration driven by full price sales from this point. Slide 49 takes us through the main financial figures. Looking at the results for the year and referring to year-on-year changes at constant exchange rates. Total revenue was GBP 2.3 billion, down 10% with a strong recovery in the second half. Adjusted operating profit was £396 million, a decline of 8%. The revenue fall of GBP 289 million resulted in an adjusted operating profit decline of just GBP 37 million. The normally high level of operational gearing was partially offset by the actions we took to manage the cost base with both permanent and temporary reductions. This resulted in a margin improvement to 16.9%. A higher tax rate and finance costs resulted in the adjusted diluted EPS falling 14%. Free cash flow in the year was GBP 349 million, up significantly from last year, and we have returned to paying a full year dividend at 2019 levels, given confidence in our strategy and strong cash position. Slide 50 shows the main moving parts within our Q4 performance. Full price sales performed well, rising 12% on a two-year comparative. We continued our strategy of materially reducing markdown volumes and shortening sale periods, reinforcing the equity of the Burberry brand, resulting in a 3% headwind to Q4 comp sales growth. COVID-19-related store closures increased this quarter, rising from an average of 7% in Q3 to 16% in Q4. Tourist destinations continue to see the most significant impact on trade, particularly Europe. Turning to slide 51. This shows the quarterly progression of our retail sales on a comparable store basis. Comps saw a 9% decline in the full year that started with a 45% decline in Q1 and closed with 32% growth in the fourth quarter. From Q4 full year 2021, we entered a period of low comparatives as we started to anniversary the initial impact of the pandemic. For this reason, we have shown the results against Q4 2019, as we believe the two-year comp is more representative of underlying performance. This shows a decline of 5% in the fourth quarter. Turning to the chart on the right, we believe full price sales are the best barometer of the underlying brand strength, and we’re encouraged by the improving performance. Full price sales closed up 7% for the full year, despite an average 18% of stores being closed and accelerated each quarter, with Q4 up 12% against two years ago. Moving on now to slide 52, where we show the quarterly regional performance with Q4 against two years ago. The Americas’ robust performance continued with a 15% comp and a 43% full price growth. Within this, the U.S. was particularly strong with a full price growth of up to almost 50%, driven by attracting new and younger consumers to the brand. Asia-Pacific grew 17%, with full price up 21%, with a standout performance in China and Korea. Mainland China accelerated and grew more than 50%, with full price up almost 70%. Korea also showed a strong performance of around 50%, with full price over 60%. This was partially offset by Japan and the rest of Asia-Pac that continue to be impacted by reduced tourist spend. EMEA fell 44% in the fourth quarter, impacted by around 50% of the stores being closed and a significant reduction in tourist travel. EMEA was the region most impacted by the pandemic. Both Continental Europe and the U.K. fell by more than 50% compared with 2019, whereas the Middle East increased by a mid-single-digit percentage. The quarter also saw continued strength in digital, with strong double-digit growth against two years ago, with China up triple digits, Asia almost doubling, and Americas and Europe up double digits. Slide 53 shows the group revenue summary with retail sales down 9% and group revenue down 10% at constant exchange rates. All areas of the business were up in the second half except licensing. Wholesale was particularly strong, up 7% in half two. This represents a good recovery given the impact of the pandemic on Asian travel retail, given this typically accounts for almost a quarter of our wholesale business. As you can see from the previous slides, while 2021 was challenging, we managed through the crisis effectively. We saw a good recovery in financials and delivered higher quality revenue and earnings from full price sales and a streamlined operational cost base. We show the income statement in slide 55, where there are a number of key areas to highlight. Gross margin increased by 270 basis points at CER, adjusted operating profits margin increased 50 basis points, and I will discuss both of these in more detail shortly. We saw a net credit from adjusting items of GBP 125 million, with the major cash item being GBP 54 million related to rent rebates negotiated with landlords. The effective tax rate rose to 25% due to the geographical mix of profits. Adjusted EPS fell 14% as a result. Slide 56 looks at the main moving parts of the gross margin, which increased to 70%. Around two-thirds of the increase is due to business benefits from full price, positive channel mix, and regional mix as the business shifted towards Asia. The gross margin also benefited from COVID provisions taken in the prior year by around 80 basis points. Following the step change in gross margin in full year 2021 to 70%, we believe this level will be sustained in full year 2022, with a medium-term opportunity based on scaling the business to product categories and full price mix. To help provide further clarity on the adjusted operating profit margin, we show the bridge on Slide 57. The decline in profit was due to reduced revenue, partially offset by an improved gross margin and OpEx reductions. The cost reduction programs delivered GBP 60 million this year, bringing cumulative benefits to GBP 185 million. Property savings are enhanced by a GBP 34 million reduction in amortization charges following the store impairment taken last year. Please note, however, that the benefits from rent rebates are greater than this at GBP 54 million and have been treated as an adjusting item and therefore not included on this profit bridge. We also voluntarily paid U.K. rates and did not take the U.K. furlough, foregoing a further benefit available. In summary, whilst there were reduced charges this year due to the COVID provision in 2020, they have been more than offset by cash benefits taken as adjusting items below the line, meaning this is a good quality trading outcome for the group. This brings us on to adjusting items that represent a credit of GBP 125 million this year, as shown on Slide 58. This stems from two main sources. Firstly, COVID-19 related items of GBP 137 million. We have mentioned the GBP 54 million of landlord rent rebates. Additionally, there were GBP 9 million of government grants also taken as exceptionals. In addition to this, our COVID provisions last year were taken at the height of the pandemic. Trading in certain regions has improved considerably since that point, particularly in the U.S. We have therefore revised some impairments based on current and expected future trading below the line within adjusting items. Secondly, restructuring costs and a profit on disposal netted to a GBP 12 million charge in the year. We have shown the income statement split by half one and half two on Slide 59, given the very different performance. Revenue in half two increased 8%. Gross margin increased significantly, leading to a 15% increase in half two gross profit. This, together with our focus on operating costs, resulted in a strong half two margin, with an 8% growth in sales converting to a 48% increase in profits. Going into full year 2022, we expect the operating cost base to normalize as stores reopen and social distancing restrictions lift, allowing the more normal cadence of client engagement. We shall review the cost dynamics later to help you formulate your forecasts. Having seen the robust performance in the income statement, we now take a look at how this converted to strong cash generation during the year and liquidity management. This year we have seen exceptional cash conversion with free cash flow of GBP 349 million, resulting from lower lease costs and prioritized CapEx, together with reduced tax and the close management of working capital. Inventory in particular was well controlled, with gross inventory 16% down from last year and 7% below two years ago, benefiting from improved sell-through. Cash conversion was strong at more than 100%. Turning now to our cash position on Slide 62. As mentioned, overall, our cash increased by GBP 0.3 billion in full year 2021. Importantly, we took a number of measures to restructure our financing sources. We obtained an investment-grade credit rating to provide easier access to the debt capital markets and issued our first Sustainability Bond to provide medium-term financing. We also repaid the RCF and the government-backed CCFF. As a result, we have GBP 1.2 billion of cash at the end of full year 2021, comprising GBP 0.9 billion of our own cash and a further GBP 0.3 billion from borrowings, with a further GBP 0.3 billion available through the revolver. Since 2017, our financial policy has been to maintain a strong balance sheet with solid investment-grade credit metrics, and this has placed us in a strong position throughout the pandemic. Our target remains at a net debt to adjusted EBITDA ratio of 0.5x-1x. At March 2021, we had low leverage of 0.1x. Had the dividend been paid during full year 2021 at the level declared today, the net debt increases to 0.4x on a pro forma basis. Today, we have announced the reinstatement of the full-year dividend back to 2019 levels. To recap, we have four priorities for the use of our capital. First, organic business needs, second, a progressive dividend, third, inorganic investments, and fourth, returning excess cash to shareholders based on maintaining solid investment grade. Next year, we expect to return to the policy of declaring an interim dividend in November. We also note our leverage is currently below our target range. We plan to return to that range from full year 2022. Slide 64 highlights the use of cash over the last five years based on our capital allocation policy. It's worth noting that we've delivered high cash conversion over 100% on average, including 111% in the current year, this presents us with the opportunity to invest in the business and provide investors with good return. Over the last five years, we've generated free cash inflow of GBP 2.2 billion. Within this, we have allocated GBP 0.6 billion to CapEx, GBP 0.7 billion to dividends, GBP 0.1 billion to strategic investments, and GBP 0.8 billion to buybacks. Overall, we have invested GBP 2.1 billion of the cash flows in the last five years, including a return of over GBP 1.4 billion to shareholders via dividends and buybacks. This is equivalent to 17% of our current market cap whilst maintaining net debt to EBITDA, well below our one-time ceiling. Turning to guidance, as Marco mentioned, our ambition is to deliver high single-digit compound annual revenue growth from a full year 2020 base. We wanted to take this opportunity to explain the building blocks of medium-term margin accretion. Gross margin will strengthen on an underlying basis, driven by full price sales and will offset headwinds as travel resumes. Coming on to OpEx. Variable costs are a modest part of the cost base and will clearly rise with revenue. The balance of OpEx can be split between two main areas. Firstly, customer-facing areas that will see increased investment. This includes digital marketing, visual merchandising, and events that will rise initially ahead of sales in addition to ESG expenditure. Secondly, enabling areas that will be closely controlled. This is the general admin area that has been reduced over the last few years and will be held below sales growth, providing a considerable operational gearing opportunity. We anticipate profit growth to be considerably ahead of sales growth in the medium term. Taking a look at a multi-year horizon, as Marco said, to achieve our revenue ambitions, we will build brand advocacy and community through distinctive and meaningful storytelling, formats, and experiences that inspire influential luxury consumers. We will focus on our core categories, drawing on the strong offer with the anchors being outerwear and leather goods. We'll create a truly omni-channel luxury experience while focusing on local consumers. We will supercharge digital sales and continue to be focused on full price. In terms of operating margin, our aim is to proactively optimize sales growth to take advantage of the strong foundation we have built in the last three years, and we will invest to maximize this opportunity. Full year 2022 will see cost normalized and increased investment to accelerate growth. Meaningful margin accretion is expected in the medium term, driven by revenue and leveraging our fixed cost base. The presentation today highlights how we've transformed our business and built a new Burberry. We completed our objectives for the period with a revitalized brand image, renewed product offer, and elevated customer experience, ending the year with strong full-price momentum. Despite the challenges of COVID, we have seen improved earnings quality, excellent cash generation, and built a strong financial platform. We have reintroduced a full annual dividend at the 2019 level, given our confidence in the success of the strategy and on the back of this robust performance. Supported by these foundations, we are targeting an acceleration in growth, and we expect to lead to a high single-digit compound annual revenue growth at constant exchange rates and meaningful margin accretion. Thank you for joining our call. We look forward to your questions, and I'd like to leave you now with a video that summarizes the journey. If you wish to ask a question, please press star followed by one on your telephone keypad. If you change your mind and wish to remove your question, please press star followed by two. When preparing to ask your question, please ensure that your phone is unmuted locally. To confirm, that's star followed by one to ask a question. The first telephone question today is from the line of Louise Singlehurst from Goldman Sachs. Please go ahead. Hi. Good morning, everyone. Thank you for taking my questions, and thank you for all the details so far. I've got three questions, if I may. The first two for Marco and then one for Julie. Marco, I wondered if you could just talk a little bit more about the markdown activity. I suppose that's a surprise factor this morning, in the fact that there is still a mid-single digit headwind for this year. I was under the assumption that we're a bit further along in that. Just to confirm, is that the end of the markdown activity and where those hotspots still are in terms of the work that needs to be completed? Secondly, you talked about new customers, and customer loyalty a little bit in terms of the slides. I wondered if you could just talk to us about where you're most excited, what the new customers, like a profile, what they're coming in, what they're really looking for. Is it the core on the apparel? Is it the streetwear? Obviously, we've touched on the leather goods as well. Then finally, for Julie, just in terms of margin. We've talked a lot about meaningfully expand the margin over time for Burberry, and in slide 66, you do give us a little bit of a path for the future. Are we right in interpreting that should be a 20%+ margin at medium term? Thank you. Good morning, Louise, and thank you for your questions. For the first questions in terms of markdown. The markdown, it was expected. It was always a plan that we would exit markdowns. We will be exiting markdowns from our mainland stores over a couple of years. We have done a good part of this work last year. We will have another important part that will happen in particular in the first quarter of this year. Then it will be less of an impact in the third quarter of the year going forward. I think this is obviously a very qualitative step that we're taking. In general, what we have seen, we have seen that we have prioritized and have been successful in developing very high-quality revenues. As Julie and I have mentioned in our slides, there is a very strong full price growth. Markdown has been reduced and is being phased out. We are managing inventory very well and sell-throughs are high. There is less inventory going into outlets, which also means, again, that our mix and our quality of sales is very high. With regards to the second question in terms of customers, actually, we're seeing a broad spectrum of new customers coming from different geographies. In Asia, certainly, we have seen some significant strength in China and in Korea. There are new customers that in those countries, I have to say that leather goods and outerwear, in general, all over, they have overperformed. Those are our key categories. That's where we focused our efforts. It's performing extremely well. It's both new customers, young, fashion, educated, really fashion customers. At the same time, we have kept and we have developed very well also with our existing customers, who are also up double digits in terms of sales. The other, I think very good region has been America, where I think we're seeing quite a change somehow in the landscape of customers. I think we're seeing a new generation of customers, young customers, again, fashion. Fashion is becoming part of their culture, part of their way to express themselves, a little bit like in China has been for a while now. We're really hooked into the local culture there. I think we're benefiting from that, and we're attracting a lot of new customers. Equally in America, we have kept our existing customers. They have bought into the new products, and I can call out in the U.S., I think in particular in handbags, is really accelerating now. Shoes have been a very strong driver of growth for us and of course, ready-to-wear in both categories. So I think it's been quite an interesting year in terms of customer recruitment and new customer recruitment. Julie. Thank you, Marco. Thanks. Thanks for the question, Louise. In terms of profit, yes, in terms of margin, we've got a number of major drivers of margin increments over the medium term. The first one is underpinned by growth margin strength. We've got the pricing opportunity, as we mentioned, together with the clear outperformance of full price. We've seen that already coming through this quarter versus last year, and this is the way we are driving the business. The full price growth within the guidance in terms of revenue of high single digits is outperforming. The third area relates to the sales densities, improving the store network, as Marco outlined in his presentation. Digital penetration is the fourth lever, and then the fifth lever is, of course, the cost control. The enabling cost areas, what you might call the back-office cost areas, are being very tightly controlled, which gives us the leverage opportunity. Your question around, obviously, do we equate this to around a 20% margin improvement over the medium term? Yes, this is absolutely our ambition. The one thing we have flagged really on the final slide is that we do see that we've got a golden opportunity for Burberry, given the strength that we've come out of the pandemic with, to invest in the business. We've got a period in full year 2022 of cost normalization and investment in the business in terms of marketing, visual merchandising, digital. These front-end drivers will give us a more sustainable positive margin going forward. Yes, your ambition that you stated at the beginning was spot on. Super. Thank you both very much. Next question is from the line of Thomas Chauvet from Citi. Please go ahead. Good morning. Thank you. I've got three questions, please. The first one on pricing. As your markdown reduction exercise ends in H2, where do you feel the ASP of bags and outerwear compares to your key competitors, Vuitton, Gucci product, for instance? We've seen a return to pure pricing, like for like pricing in the last 12 months in the industry. Will you then be able to increase pricing for the carryover business? Is that captured within your high single-digit revenue guidance? Secondly, on capital return, you've returned to the FY 2019 dividend level, GBP 0.42. That year, there was also GBP 150 million buyback and then the prior two years as well. With a net cash position of close to GBP 1 billion above 2019 level, what prevents you from launching a share buyback today? Should we just assume this is another gap year, buybacks will resume next year or maybe even during the course of this year? Maybe today would be a good day to purchase a bit of shares. Thirdly, related to that, on your capital allocation chart, Julie, would it make sense to allocate this cash pile if you don't use it otherwise to do what you call strategic and organic investment, for instance, the acquisition of another luxury brand that may address new categories, new customer segments? Or are you, Marco, and the team just too busy with the multi-year plan for the Burberry brand that you have no time or appetite for M&A? Okay. Shall I take the first one, Julie? Yes. On pricing. Yes. Thanks. Hi, Thomas, thanks for the question. Look, on pricing, I think we said that in particular for handbags and leather goods, our strategy was to rebuild the architecture of the offer, which we did, and to start to get traction in the market on key shapes, which we have now, before we would somehow look at pricing opportunities. We know that the value of the product we have in the market today is quite high compared to the pricing we have. We know that we have opportunities there, and we will take those opportunities as we are and when we are confident that we have solid traction there. Clearly, that will give us also margin opportunity in the category. As I said, we're seeing real traction is focused on five families with the Olympia now joined, and we have high expectations for that bag. Also from a margin and replenishment point of view, I think is exactly what we wanted to achieve. We wanted to achieve volumes in a limited number of families. We are there. I think in outerwear, kind of a similar thing except, we are already a big player in the outerwear world. We have, as you have probably seen, we have renewed the offer. We have created new evergreens. We have created new replenishment and carryover items. They are working. They're working with also some of the new codes that we have created for the brand. I think our level of pricing may warrant for us in the future, taking some price increase, at the same time, I think we do want to maintain a high volume business there. We have very strong traction, particularly in Asia, Korea, China. The traction has been phenomenal on this category. We haven't taken a lot of price increases. We have taken a little bit. To summarize, there is probably opportunity going forward. Okay. Shall I take capital allocation, Marco? Yes. Thanks, Thomas, and good morning, and thank you for the question. In terms of the decision, we've restored the dividend, as you know, but we decided at this point, given the overall macro environment, that we would not commence the buyback immediately. We're very pleased with the cash position that we have, and as you quite rightly point out, we've got very low leverage. It's actually 0.4 on a pro forma basis. It's still at a low level, and therefore, what we will do is we will consider this as part of the interims. We expect to return to an interim dividend at that point, and we'll also look at the buyback situation. In terms of future uses of the cash, we're continually assessing the situation in terms of inorganic opportunities for the business, together with opportunities for further returns to shareholders by way of buybacks or specials. I think it's going to be driven in terms of where we're up to. The areas we focus on mostly, as you've seen, is really vertical integration opportunities when we bought the leather goods design and manufacturing facility in Italy about two years ago. It's those types of opportunities you'll probably see us doing initially, because we believe the biggest value driver for Burberry is the Burberry brand itself and the pursuit of an organic, a clear organic strategy to maximize and optimize the value of our brand. Thank you, Julie and Marco, and good luck. Thank you. Thank you, Thomas. Next question is from the line of Ashley Wallace of Bank of America Merrill Lynch. Please go ahead. Good morning, Julie and Marco. I have three questions, please. First of all, are you able to give us any color on Q1 trading for April on the two-year stack, both in terms of the full-price business and the revenue overall? My second question is just around the cost inflation coming through in FY 2022, especially considering the cost-saving plan that you had in place the last few years. If you could use FY 2020 as a base, could you please help us with the bridge on OpEx inflation out to FY 2022? I guess within that, can you please confirm how much spend or incremental spend will be reinvested back into the brand? I think you already outlined GBP 55 million of brand reinvestment funded by cost savings last year. What's the total amount in FY 2022 versus FY 2023? The last question is just on the medium-term guidance for both top line and margin. Can you just please confirm if management LTIP is also based on the same target? Thank you. Julie, you want to take- Yes, I'm happy to take it. the questions. I'm happy to take it. Yep, absolutely. Good morning, Ashley. Good to speak to you. Just in terms of trading, we have seen very positive trends. The business was growing very strongly as we exited the fourth quarter in terms of full price. As we mentioned, the U.S. was trading in full price at +50%. These are last year growth rates. China full price was approaching 70%. Korean full price was just over 60%. Very powerful growth rates. We've seen a continuation and strengthening of those trends. We're very pleased with the current trading picture. It is important to flag, Marco mentioned this, around the markdown. This will be a mid-single-digit impact for the full year. We're anticipating a more pronounced impact of high single digits in the first quarter. That will affect the comp, but as usual, we'll give the full price growth, which continues to be on a very good trajectory for the business. In terms of the cost base, if we take a look at full year 2022, it's been characterized by three major changes within the cost base. One will be the acceleration of variable commissions and variable rent as the sales improves considerably. This is over full year 2021. Then there's going to be a combination of cost normalization, and also acceleration of expenditure in marketing-related areas, visual merchandising. The growth in those two latter areas is broadly equal. We've got around investment levels at 50% of the increase, BAU or normalization is about 40% of the increase and variables around 10%, just over 10% of that increase. Like I say, this is an opportunity for us to focus on investing in the brand to drive the growth. As you've seen from the cost-saving program that we put in place almost 12 months ago, that has been really targeted at the back office parts of the business, all designed to drive the commercial front end. I think the final question was around top-line management. It was just around the medium-term guidance on top-line margin, just if you could confirm if the management LTIPs are based on the same target. Okay. Yeah, thank you. We've moved actually over to a Burberry Sharesave Plan. Marco, did you want to come in on this one? No, go ahead, Julie. Okay. Yeah, we've moved over to the Burberry Sharesave Plan. The LTIP levels were lowered, and it's now based on a three-year picture. Marco and I, our incentives are supported with underpins, of which one of those is revenue. The other two relate to brand sustainability and return on invested capital. Those are our metrics. All right. Thank you. Next question is from the line of Elena Mariani from Morgan Stanley. Please go ahead. Hi. Good morning, Marco and Julie. A couple of questions from me as well. The first one is on your top-line guidance. I was trying to better understand the building blocks. You've been focusing a lot on leather goods and outerwear in your message. Is it fair to say that you expect these two categories to grow faster than your medium-term targets, or perhaps at a low double-digit rate versus the rest of the business growing a little bit slower? Still on the top line, is this high single-digit growth pretty much in line with what you expect for the market? What is the basis for you in terms of benchmarking your sales to? Is it the overall luxury market? Are you focusing particularly on the apparel segment plus leather goods? Essentially, is this guidance implying that you're going to grow in line with the market or perhaps losing a little bit of market share or gaining a little bit of market share? Second question is about your investment behind the brand. We're trying to better assess the magnitude of these investments. Perhaps could you share a little bit more details around the marketing expenses and whether perhaps before your plan, you thought you were under-indexing the industry, which pretty much is investing single digits in marketing as a percentage of sales, and now going forward, you're going to be more aligned with the industry just because many of your competitors have stepped up materially in their marketing spend. We were just wondering how confident you are to further increase your share of voice. Thank you. Okay. Shall I take maybe the first question and introduce the second, and Julie- Yeah Maybe you can speak about the investments behind the brand. Sure. Hi, Elena, and thank you. Thank you for the questions. In terms of the top line and over the medium term, what is important to say is that full price growth will significantly outperform the high single-digit guidance that we are giving for two reasons. The first reason is the exiting of markdown, and the second reason is that as we will focus more and more on our mainline stores, and as we are driving leverage and better performance in terms of sell-throughs and inventory management in the mainline area, we will have less inventory to exit through outlets. Therefore, you will see mainline full price grow faster than the aggregate high single-digit guidance. Within that, certainly our core priorities are in terms of product, as you said, are leather goods and outerwear. We have a very strong focus, as you saw in our business plan, on those two categories. As we see now, then overperforming, we expect and we wish this to continue. At the same time, I have to call out that we have other opportunities and other categories that are growing very fast. One above all is the shoe category, which is driving incredible growth in a number of markets. In terms of our growth versus market, having explained the quality of the growth that is behind the high single digits, we refer to the luxury industry, and we refer to studies that call for 4% or 5% roughly of growth over the next few years. We think that with high single digits, we think we will over-perform the broader market. In all of this also, I think that the digital component is going to be really significant because we are really stepping up our programs in digital, and I shall call it actually now our omni-channel ambition, which is a project where we are investing a lot of energy and resources. It's beginning to give fruit. There is a lot to come in the future. That will certainly be an area that will help us to achieve and hopefully go beyond our goals. Julie? Thank you. Yes. Thank you. I'll take the third part of the question, just relating to investment behind the brand. We have, over the last three years, completely reshaped the cost base in the business, towards the front office of the business in terms of the marketing spend, visual merchandising, and away from the more administrative areas of the business. In terms of the customer-facing areas that we're very focused on in terms of targeted investment, it includes digital marketing, as I mentioned, visual merchandising events, together with pop-ups and pop-ins, and the store refurbishment program that Marco outlined, which is very ambitious this year. In terms of the allocation of the spend or the adequacy of the spend, we believe this is now, with the full year 2022 plan, going to be at absolutely the right level. We'll continue to focus on it's all about really driving heat by focusing on creativity and engaging content. What we do in the business with our marketing team is we're always looking at maximizing the return on those investments. As you say, the GBP 55 million cost reduction program that we announced last year has been targeted to exactly those areas. Hopefully that puts your mind at ease with that question. Okay. Thank you very much. Next question is from the line of Luca Solca from Bernstein. Please go ahead. Yes. Good morning, Marco. Good morning, Julie. Three questions from me, too. I was wondering about the rebound you're experiencing in the fourth quarter, in the first calendar quarter, that seems particularly strong in the U.S. I was wondering if there's anything that prevents you from having an even stronger rebound with Chinese consumers, given your higher exposure to Asian consumers, and whether there's anything material coming from the recent uproar about Xinjiang cotton. I guess the question would have to come on this front. Secondly, very strong progression of gross margin. I wonder, you didn't highlight that in the presentation, if I understood correctly, but I wonder if there's any component in this coming from product cost efficiency. You mentioned in the past, a better ability to understand and dissect cost structures, especially in leather goods. I wonder whether you managed to achieve product cost efficiencies in other areas of the business. Last but not least, there seems to be quite a significant opportunity to shift to a full price sales mix. Just to give us a ballpark, is it fair to assume that you're moving from a 60/40 mix in terms of full price versus discounted price, or is that way off the right mix? Thank you very much indeed. Okay. Julie, maybe I'll take the first one, and I'll introduce also the second on product cost efficiency, and then I'll hand it over to you for more detail on that. Luca, hi. Good morning. Thanks for the questions. In terms of your first question around the rebound in the U.S., we're having a very strong rebound in the U.S., as Julie pointed out, in Q4 in the U.S. in particular. Our growth against 2019, so not against last year, but against 2019, was close to 50%. As I said, we are seeing a new breed of customers that is joining the ranks of fashion customers in the U.S., and I think we're scoring very well with them. But as I said, at the same time, we have kept our customers, and we have developed them. You are absolutely right. It is an opportunity. We want to go after this opportunity. One of the reasons why we want to increase our investment this year in consumer-facing areas, in particular marketing, inspiration, stores, is because we feel that the momentum for the brand is very strong. Actually, as a matter of fact, this has started pre-COVID, because back in January of last year, we were already seeing double-digit growth in full price in our business. It was paused by COVID when our clients could not really or would not, given the level of pandemic at that time, go into the stores. As soon as that started to ease, we have seen that our growth and our momentum has picked up from exactly where it had been paused, and it has accelerated through the quarters. We are seeing actually, in the beginning of this next quarter, we are seeing also the continuation of the same trend. Yes, absolutely, America is an opportunity, and yes, we will invest to maximize on the strength we have seen. Leading into China, as I said, the Chinese, this situation has been part of a macro environment, and we, like other brands, had to and will continue to navigate through that. Having said that, our performance in the region is strong. The numbers have been very good. Even though it's a bit early to comment on current trading, but we are pleased with the start of the year. I can say that the impact has been relatively limited, and it doesn't modify our overall expectation. China is a primary focus for us, will continue to be. We think we can create enormous value out of China. We will continue our investments in our clients, in our partners, in innovation, in localization, in everything that we were doing, we are continuing to do. We remain extremely confident about the opportunity of that market. Turning to gross margin progression, there has been certainly cost efficiency. We are starting to see, in certain areas, for example, of leather goods, we are starting to see the benefit of, first of all, having built a new architecture, and second, of starting to drive volumes focused in key items and in a few families. We have started it's just the beginning, but we have started to scale some margins there. I think we have quite an opportunity there as our numbers grow, and they're growing fast in the category. Again, as we will continue to strengthen those families. More product is going into, as you called out, into replenishment and evergreens. The same thing we can say that is going to apply in other categories. Eventually, it's maybe too early, but eventually in shoes and in outerwear as well, where we have renewed our offer, we consider that we have the opportunity to improve on our entry margin, on our gross margin there, particularly now that our sales are shifting more and more towards the full price, better sell-throughs, controlled inventories. Maybe this lead into the full price sales mix. Julie, if you want to- Yes. Absolutely. Just in terms of, I think the only thing in addition on the gross margin, in addition to what Marco mentioned, is of course the pricing opportunity. The move and emphasis on outerwear and leather goods in terms of the overall price point of those ranges and the luxury positioning and the pricing opportunity that that gives us to complement the areas that Marco just mentioned. Absolutely, Julie. In addition, regarding the calculation you did at full price, we don't disclose the split of the business, but it's higher than your first indication suggested Luca. When we finish the exiting of markdown in mainline stores by the end of full year 2022, we'd anticipate to be considerably higher than the level that you indicated in terms of the full price mix in the business, in the total retail business. Understood. Thank you very much indeed, Julie and Marco. Thank you. Thank you. Next question is from the line of Antoine Belge from Exane BNP Paribas. Please go ahead. Yes. Hi, good morning. It's Antoine Belge at Exane BNP Paribas. I've got three questions, actually, all on the outlook, but ranging from the medium-term to the more short-term. More medium-term, I understand the reference to the 20% because that's what you gave back in 2017. When you look at the, one, the level of margin you're already achieving in H2 of 23%, where the gross margin are now at 70%. Actually, isn't really the sort of journey more to go to low to mid-20s margin rather than just 20%? Any reason why it couldn't get there? Second question relates to the outlook for this year. I think you mentioned this high single digits for the entire period. Versus fully on March 2020, and also mentioning this headwind. Can the high single digit be achieved, which would mean sales of around GBP 2.9 billion this year? Should we then deduct that headwind and then maybe the sales would be closer to maybe GBP 2.7? Finally, regarding the quarter, I think you mentioned no real impact on China of the cotton topic and also sort of exit rates, which are strong. I think that actually in Q4 last year, you already had a headwind from lockdown. Any reason why the first quarter sales couldn't be broadly on par with what they were two years ago? Thank you. Okay. Would you like me to take those, Marco, or do you want to comment? Sure. No. Yeah. No, you go ahead. Okay. Thank you, Antoine, for the questions. Taking the first one, we are very confident of achieving the margin ambition that we've laid out. Really it's a case of reiterating the original guidance this morning. There is potential upside to this, there's no question. However, we're conscious of the macro environment at the moment, and we've basically gone with what we know we can deliver for the reasons that we've outlined, largely driven by the gross margin strength. We've talked about the full price trajectory we're seeing, the sales densities, the digital penetration, and the cost control. This brings that margin up to the levels you've indicated. Yes, we could overachieve that ambition, but obviously we don't want to call that at this point in time. It's too early and we're conscious of macro. The second point about the level of sales, we're not deliberately not guiding on retail revenue. We've guided on the first half of wholesale just because we've got visibility of the order book. We wanted to give and focus the audience and our investors on the medium term for the business, the medium term opportunity for the business rather than a single year in question. As far as we can see, in terms of the opportunity for high performance of the main line and the full price is certainly there. If you just allow for the mid-single digit impact due to the exit of the markdown in the mainline stores, then you'll have the comp, I think, in terms of where we see it driven by the categories Marco's mentioned. Yes, I think just in terms of the final piece of your question was all about the China impact. Yeah. I think Marco has already probably covered that. I can restate the fact that we have seen a limited impact in China for the time being. That our rate of growth is strong and was strong also against LLY. We remain very confident in that market, and as I said, we will continue to focus and invest in that market. Actually, thank you for your answer. I was mentioning China just to say that I was trying to look for any reason why in the first quarter, your retail sales couldn't be on par with what they were two years ago, implying sort of 80%, eight, zero, comparison versus last year. I don't know, Julie. I think you're getting into the details of the numbers, and as you know, we can't give such a short-term guidance over the next quarter. As I said, we're very pleased with the trend that we're seeing at the beginning of the quarter. The trends are continuing confirming. I don't think we can say anything further than that. Thank you, Antoine. Maybe just a little follow-up, if I may, because you mentioned online as an important driver. What will be the share of third-party online providers in that strategy? Third party is definitely going to be an important part of our digital ambition plan. First of all, we have very strong partnerships with a number of partners. We're focusing on a few key partners. We've done a lot of innovations and we'll continue to do. Just now on Tmall, we were the first brand, a few weeks ago to be the first to have a Super Brand Day. We're on social commerce. You will see us doing more and more partnership. You will see us also tightening the relationship with them and moving more and more into real partnership and not just arm-length transactions. They are a key player. They cater to a clientele that we are interested in and is a very fashion clientele in particular, a number of the players. They will play a role. It is going to be about our burberry.com, but is absolutely also a real partnership with a few players. There is also a lot of consolidation and a lot of movement in this space. It will be about focus again here. Thank you very much. Thank you, Antoine. Thanks, Antoine, very much. I think in view of the time, we're conscious of your time. We may just take one more question, and then we're happy to have follow-up calls subsequently. The next question is from the line of Rogerio Fujimori from Stifel. Please go ahead. Hi. Good morning, Marco and Julie. Thanks for taking my two questions. Marco, you flagged the retail productivity opportunity for Burberry. Could you talk about how your current levels of retail productivity compare to pre-pandemic and the long-term potential you see for the business, given your exposure to apparel, your projected mix in accessories, your improving store network, just to give an idea of how you can help to kind of drive the ratio for package of sales down over time. Then, just a clarification on pricing. I understand the interest in pricing opportunity, could you comment on the recent pricing actions, especially in bags? I understand the bag prices increased in April. If that's the case, what was the scope and magnitude, and have you changed prices in outerwear or other categories at the start of the year? Thank you. Okay. Rogerio, thank you, and good morning. Thank you for your questions. In terms of the productivity of our stores, definitely I called it out when I said that this is one of the drivers for us is to increase the productivity of our stores and the sales density. Look, I think we have a number of actions that we have in place in order to do that. I think I listed a few of them, but I think it's worth recapping them. I think obviously traffic is the first lever. Obviously, traffic has been impacted by COVID-19, but in the markets that are easing out of COVID-19, we're seeing traffic coming back. Driving brand heat and scaling our CRM capabilities, on which we are investing significantly, are going to be two important drivers, as well as our omni-channel efforts, which aim at making customers shop seamlessly across both online and offline. Moving from inspiration that happens most of the time on burberry.com online, moving customers to our stores. We have in place also a very strong activity with our top-spending elite customers and with our local customer. As we called out, it is going to be about developing local bases of client. We have a drive behind conversion. We have a very strong retail excellence training and plan in place. As I said, omni-channel will also help us to scale conversion. ATVs or pricing, we'll come back later to the pricing, which is not only pricing opportunity, but also the focus on our categories. The two categories of leather and outerwear are going to drive AUR increase. We also have a cross-selling that is possible. We have categories that are recruiting new customers, for example, with shoes, and we have seen that we have successfully then taken them across into purchasing and selecting other items. In general, we are focusing a lot on appointments, and appointments with our customers has driven a lot of our growth, and we will continue in that way. Clearly, it's going to be a full-price business as we are going to exit our markdowns, and obviously this is going to increase our productivity in our stores. Finally, I want to call out the new store concept. I think we are all going to see it close to us here on Sloane Street. I think it's going to be transformational, both in terms of the luxury environment that it will create for a product that is real luxury today, and for the fact that it's also built on precise ideas around how we want traffic to move in the store, the key categories, and so on. There is a very strong and robust plan in place to increase the productivity of the stores. In terms of bag prices, handbag prices, Julie, you want me to take this or you want to take this? Yes, I can, dear. Yes, absolutely. Sure. Yep. In terms of the pricing opportunities, as you mentioned, we did implement a price increase in the first quarter just gone. This is affecting a sizable proportion of our leather goods business, and a fairly significant price increase, in the order of high single digits. We continue also just to make periodic adjustments relating to foreign exchange to maintain the global price architecture. I think as Marco mentioned, we're seeing some significant opportunities, given the change in the brand and the perception of the brand, to both focus on the higher value categories, but also in certain categories, ensure that we have appropriate price increases put through, and this is exactly the strategy. Very helpful. Thank you. I think you mentioned down to where specifically. I think no immediate change at this point, but as we continue to elevate the product, we would anticipate there being some price increases at a later point. Okay. Thank you very much. Thank you, Rogerio. Thank you. This concludes our question and answer session. I would like to turn the conference back over to Marco Gobbetti for any closing remarks. Please go ahead. Thank you. I just want to thank you everyone for attending and for your questions. Thank you very much, and we look forward to the next session of trading announcements. Thank you. Thank you. Bye. Bye-bye.