Burberry sales boosted by popularity of new collections
Luxury brand Burberry said new collections designed by Riccardo Tisci helped boost its sales performance in the first half of its financial year.
By the end of the six months to 28 September, new products comprised around 70% of the assortment in the retailer’s mainline stores.
During the period, revenue increased by 5% to £1.28 billion while pre-tax profit climbed by 11% to £193 million.
Retail comparable store sales rose by 4% as new collections saw strong double digit growth. However, this was offset by a softer performance by replenishment product lines.
Marco Gobbetti, Burberry chief executive, said: “We are pleased with our performance in the half, as we remain on track to deliver the first phase of our strategy. New product now represents a high proportion of our assortment and the customer response has been positive delivering strong double digit growth. We also continued to strengthen momentum around our brand and transform our distribution. We delivered financial results in line with guidance despite the decline in Hong Kong and we confirm our outlook for FY 2020.”
The first half saw the brand open new stores in China World in Beijing and IAPM in Shanghai. It also expanded its store in GUM in Moscow.
