Burberry: first-half revenue down 3% as brand repositioned

(CercleFinance.com) - Britain's Burberry saw its revenue fall 3% in the first half of the fiscal year, with the fashion house transforming and repositioning its brand.


Burberry, famous for its camel raincoats, said on Thursday that total sales in the 26 weeks to 29 September reached 1.22 billion pounds, down from 1.26 billion euros a year earlier.

On a reported basis, adjusted operating profit fell to 178 million pounds, from 185 million pounds a year ago, while its adjusted operating margin was flat at 14.6%.

While citing the current "transition" of its business, the group maintained its full-year guidance of broadly stable revenue and adjusted operating margin, along with 100 million pounds of cost savings.

Shares in Burberry are currently up 2.4% at 1,860 pence after these results, outperforming the London market (+0.5%), which gives the group a market capitalisation of around 7.5 billion pounds.

The stock is also outpacing the STOXX Europe 600 Retail sector index, which is up 0.7%.

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