LONDON, Jan 22 — British luxury label Burberry edged up its forecast for full-year sales today after it saw strong demand for designer Riccardo Tisci’s new collections in the 13 weeks to December 28.
The company said it now expected total revenue to grow by a low single digit percentage at constant exchange rates compared to previous guidance of broadly stable. Comparable store sales rose 3% in the quarter, it said.
“This was another good quarter as new collections delivered strong growth and we continued to shift consumer perceptions of our brand and align the network to our new creative vision,” Chief Executive Marco Gobbetti said.
“While mindful of the uncertain macro-economic environment, we remain confident in our strategy and the outlook for full year 2020.”
Burberry said growth was driven by full-price sales of new product, which made up 75% of its offer in stores in the period, helping offset the impact of disruption from protests in Hong Kong.
Sales in Hong Kong halved in the period, it said, sharply contrasting with mainland China where they rose by a mid-teens percentage.
It said its adjusted operating margin was expected to remain broadly stable at constant exchange rates despite the impact of disruptions in Hong Kong. — Reuters
