Burberry retail sales rise driven by UK performance

The luxury fashion retailer and brand said retail revenues advanced 3% on an underlying basis to £1.27bn in the six months to March 31.

Like-for-like sales increased 3% across the half-year, with 3% growth in its third quarter followed up with a 2% rise in the fourth quarter.

Burberry enjoyed “double-digit growth” in Europe, the Middle East, India and Africa (EMEIA), spearheaded by “exceptional” sales in the UK, although the business declined to provide specific figures.

Strength in China

The company also reported growth in Asia Pacific, helped by the strength of its business in mainland China, although it suffered a decline in the Americas as sales faltered amid the “challenging environment.”

In contrast to its retail arm, Burberry recorded declining revenue from both its wholesale and licensing divisions.

Wholesale revenue fell 13% on an underlying basis to £327m, although this was in-line with guidance.

Licensing revenue tumbled 38% on an underlying basis to £12m, although Burberry said this reflected the planned expiry of Japanese licences.

Burberry chief creative and executive officer Christopher Bailey said: “In an uncertain environment, we continue to take action to strengthen the brand and reposition Burberry for growth.

“The outperformance of fashion and the strong customer response to new products underline our renewed creative momentum.”