Burberry second half sales up 18%, yet lower than forecast
British house Burberry reports a GBP 1.027 billion in the six months to 31 March, an increase of 18 per cent on the previous half year. Despite strong sales in the UK, France and Greater China, sales came in 2 per cent below the GBP 1.048 billion forecast.
Growth was strong in knitwear, men’s tailoring and accessories, as well as fragrances and watches. Retail sales, which accounted for 72 per cent of total revenue, grew by 23 per cent on an underlying basis.
During the second half, Burberry opened 11 mainline stores and closed six. Openings included an 11,000 square foot store in Taipei, the first flagship in Taiwan, an 8,000 square foot flagship in Paris, a third store in Brazil and a second in Mexico.
Burberry are projecting underlying wholesale revenue to increase by a mid single-digit percentage. Despite further rationalisation of the brand’s distribution in both Europe and the United States, double-digit percentage growth is again expected in key US department stores, emerging markets and Asia Travel Retail.