Burberry warns on full year profits
British fashion house Burberry warned that trading conditions were becoming more challenging with like-for-like sales flat in the second quarter.
British fashion house Burberry warned that trading conditions were becoming more challenging with like-for-like sales flat in the second quarter.
The firm said that ahead of the key retail trading period in the second half, it expected pre-tax profits for the year to 31 March 2013 to be at the lower end of market expectations.
The company, which has been riding on the crest of a retail wave driven by the popularity of its goods in the Far East, said retail sales growth at constant exchange rates was 6% in the 10 weeks to 8 September.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Of this, new space contributed 6% while comparable store sales were unchanged year-on-year, with sales slowing in recent weeks.
Chief Executive Angela Ahrendts, said the second quarter retail sales growth had slowed against historically high comparatives.
"Given this background, we are tightly managing discretionary costs and taking appropriate actions to protect short term profitability, while continuing to execute on our proven five key strategies," she said
Sign up for MoneyWeek's newsletters
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
-
What happens if you can’t pay your tax bill, and what is "Time to Pay"?
Millions are due to file their tax return this Friday as the self-assessment deadline closes. Though the nightmare is not over until you pay the taxman what you owe - or face a penalty. But what happens if you can't afford to pay HMRC your tax bill, and what is "Time to Pay"?
By Kalpana Fitzpatrick Published
-
What does Rachel Reeves’s plan for growth mean for UK investors?
Rachel Reeves says she is going “further and faster” to kickstart the UK economy, but investors are unlikely to be persuaded
By Katie Williams Published