Fashion brand Burberry total revenue rise 30% in Q1
11 Jul '07
3 min read
Burberry Group plc reports on trading for the first quarter ended 30 June 2007.
Highlights: • Total revenue increased 30% on an underlying* basis • Retail sales rose 25% underlying driven by new and existing stores • Wholesale revenue increased 51% underlying - Burberry continues to anticipate a mid-teens percentage underlying increase in wholesale revenue for the first half • Licensing revenue increased 6% underlying
Total revenue: Total revenue in the first quarter increased 30% on an underlying basis (i.e. adjusted for year over year exchange rate differences). Total reported revenue increased 24% in the period.
Retail: Retail sales accounted for approximately 58% of total reported revenue in the quarter.
Retail sales in the period increased 25% underlying, 18% reported. Comparable store sales increased 9%, against a strong prior year comparison. Average selling space increased approximately 14%. During the quarter, Burberry opened four stores, in Antwerp (Belgium), Bologna (Italy), Puerto Banus (Spain) and Tampa (Florida). The Group opened a net six concessions, including those in Italy, Spain, Singapore and the UK, and three outlet stores. Burberry remains on schedule to increase average net retail selling space by approximately 13% for the financial year.
Retail performance was broadly consistent across the regions. In the US, gains were balanced between existing and new store contributions. New space additions were complemented by good gains at existing stores to produce strong performance in Europe, where Italy and Spain were the best performing markets. Led by Hong Kong, Malaysia and Australia, Asia Pacific continued to achieve strong sales growth through a combination of new and existing store contributions. Throughout the retail channel, key merchandise categories included outerwear, runway apparel, luxury handbags and shoes.
marketing@alchempro.com
