Burberry breaks through the £1bn revenue barrier for the first time
The 157-year-old group, best known for its camel, red and black check pattern, made a profit before tax and one-off items of £174m in the six months to September 30.
Last month Burberry, which makes its iconic trenchcoat in Castleford, forecast a first-half profit around the level of the prior year’s £173m.
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Hide AdTotal revenue rose 17 per cent to £1.03bn, driven by a 20 per cent increase in retail revenue to £695m.
Outgoing chief executive Angela Ahrendts said: “We remain focused on executing our retail, digital and marketing strategies in the all-important third quarter and in what remains an uncertain macro environment.”
This was the first update since the group said last month that Ms Ahrendts would step down by mid-2014 to take up a new position with Apple.
She will be succeeded by Halifax-born Christopher Bailey who will also retain his chief creative officer role.
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Hide AdSome Burberry investors reacted cautiously to Mr Bailey’s promotion, arguing that his two roles will not sit easily together.
Burberry, which ended the period with net cash of £208m, is paying an interim dividend of 8.8p, up 10 per cent.
For the full 2013-2014 year it expects new openings to contribute low to mid single-digit percentage growth to retail revenue.
It expects underlying wholesale revenue, excluding beauty, to increase by a mid to high single-digit percentage in the six months to March 31.
The beauty division is expected to deliver wholesale revenue of about £140m.