Burberry smashes sales forecasts
BURBERRY sales soared by 12 per cent in the three months to the end of the year – well above forecasts.
The company took £380m over the period as it stripped out unprofitable lines and kept a tighter control on stock.
Wholesale revenue – which comes from department stores that stock the group’s trademark red, black and camel coloured check design, rose 5 per cent while analysts had predicted a 16 per cent slump.
Burberry shares have risen more than 7 per cent in the past three months as consumer confidence started to return and the outlook for Christmas sales improved.
Chief executive Angela Ahrendts said: “Burberry has delivered a strong performance in both retail and wholesale, as customers around the world responded positively to our collections, marketing and service initiatives.
“While continuing to plan cautiously for 2010/11, we are confident that our strategies by product, region and channel – underpinned by operational efficiencies – will drive profitable growth.”