Large leathergoods drive growth at Burberry
UK-based luxury brand Burberry Group has reported a 17% rise in revenues for the six-month period ended September 30.
Retail revenue was up 20%, while wholesale revenue was up 17% and comparable store sales rose 9%.
According to the company, outerwear and large leathergoods were responsible for about half of the growth experienced during the first half. Burberry opened 20 mainline stores during the period, including two in India and its first store in Brazil.
Looking forward, Burberry expects selling space to increase by around 25% during the second half of the year, with around 15% of this growth taking place in China.
Angela Ahrendts, CEO, said: "The momentum at Burberry continues, with 21% revenue growth and a material improvement in the gross margin in the first half. While mindful of our strong second half last year, we currently expect adjusted profit before tax for the full year to be in the top half of market expectations.
“Continued product innovation, digital and customer service initiatives, coupled with the recent acquisition of our Chinese retail operations, underpin our confidence in delivering long-term sustainable growth."
