Asia demand lifts Burberry profits

Burberry, known for its camel, red and black check-lined raincoats, posted adjusted pre-tax profit of £428m ($651m) in the year to March 31, above analyst expectations of £415m. Revenue in Asia Pacific, its largest region with around 35 per cent of sales, rose 13 per cent, led by demand for its more expensive products in China and Hong Kong.

Burberry said profit for the first half of its new fiscal year would be below last year’s as focus shifts from wholesale markets – sales through non-Burberry stores – to high-growth Latin American and Asian retail sales from Burberry branded stores.

Retail sales now account for 71 per cent of Burberry revenue. First-half profit for the six months to end-September last year was £173m.

Burberry makes trenchcoats at a red-brick factory in Castleford employing 600 people. It also has a factory at Keighley.