Burberry: shares up; FY results slightly above expectations.

(CercleFinance.com) - Shares in Burberry were up on Thursday after the luxury group reported preliminary results for the year ended 31 March that were slightly above expectations.


The British company announced adjusted operating profit of 458.7 million pounds, up 10%, but down 21% at constant exchange rates, while the consensus was expecting 453 million pounds.

In a press release, chief executive officer Christopher Bailey pointed out that Burberry had to take strategic actions over the last fiscal year, particularly in wholesale and beauty, to "strengthen the brand and reposition for growth."

At 2.8 billion pounds, revenue was down 2% in underlying terms, up 10% at reported FX, with wholesale sales down 14% in underlying terms.

With Marco Gobbetti taking on the role of CEO from July, Burberry did not change its expectations for its new 2017/2018 fiscal year.

In wholesale, Burberry expects total underlying wholesale revenue in the first half of fiscal year 2017/2018 to be down by a mid single-digit percentage.

After these numbers, its shares were up 2.4% at 1,680 pence on the London Stock Exchange this morning.

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