Burberry reports ‘robust’ second half
Burberry saw its retail revenue climb by 13% in the second half of its financial year as the company experienced strong demand for its heritage trench coats and scarves.
In the six months to 31 March, comparable sales climbed by 9%.
By region, there was double digit percentage sales growth in Americas and EMEIA while Asia Pacific saw single digit percentage growth with further deceleration in Hong Kong.
Total revenue increased by 9% to £1.42 billion.
Christopher Bailey, chief creative and executive officer, said: “We are pleased to report a robust second half performance, despite an uncertain external environment. Total revenue grew by 9% underlying and 13% in retail, as customers responded strongly to product innovation, especially in our core British-made heritage trench coats and scarves, while we continued to invest in digital and retail initiatives.”
The company opened seven mainline stores in the period including a Rodeo Drive flagship in Los Angeles and a store in the Miami design district. It also launched a new flagship store in Osaka in Japan.
Burberry said it expects net new space to contribute low single-digit percentage growth to total retail revenue in the current financial year, with 15 to 20 mainline store openings and a similar number of closures.
Looking ahead, Bailey said: “We anticipate external challenges will continue in the current year, but remain confident in our long-term strategy to build the Burberry brand and business globally.”
