Q1 revenues rise at Burberry
Retail sales at Burberry during the first quarter
increased by 14%, with comparable store sales rising 6%.
There was strong growth in the UK, France, Germany and
Greater China, while sales in Italy and Korea remained relatively weak. Mainland
China delivered double-digit comparable growth, with particular strength in
Beijing.
The apparel, footwear and leathergoods brand’s wholesale
revenue increased by 9% during the first quarter. This was consistent with
guidance of a mid-single-digit percentage increase in wholesale revenue for the
six months to September 30.
During the first quarter, Burberry opened six new stores
including the fourth store in Brazil (JK Iguatemi mall in São Paulo) and
Russell Street in Hong Kong, and closed two outlets. Two large flagships in
London and Chicago are due to reopen later this year.
Angela Ahrendts, chief executive officer, said: "With
continued brand momentum, Burberry has delivered a robust first quarter. Revenue
was up 11% against a more challenging external environment. Sales in
retail, now about 70% of the business, increased by 14%, with initiatives to
elevate brand equity balanced by improved store productivity and new space.
"Building on our balanced business model and strong
operational foundation, we continue to invest in our retail, digital and
marketing strategies to drive long-term sustainable growth, while remaining
responsive to the changing external environment."
