Burberry breaks £1bn barrier in first-half revenues though profits stay flat

Burberry: retailer's flagship store in Regent Street
Burberry: retailer's flagship store in Regent Street

Luxury fashion retailer Burberry has broken the £1bn barrier in its first-half revenues for the first time, as the company prepares for the departure of chief executive Angela Ahrendts.

The company’s revenues for the six months to 30 September were up 17% to £1.03bn, while pre-tax profits remained largely flat at £174m, up only £1m on the same period for 2012.

Looking ahead, Ahrendts said Burberry remained focused on "executing our retail, digital and marketing strategies in the all-important third quarter and in what remains an uncertain macro environment".

Ahrendts is leaving the FTSE 100 company after a decade to become Apple’s vice-president of retail and online stores in mid-2014. Chief creative officer Christopher Bailey will take over from Ahrendts when she departs.

Burberry outlined its digital innovation and collaboration with technology leaders, the opening of 14 mainline stores and its investment, made to "keep pace" with changing consumer behaviour, as key strategies contributing to the company’s financial performance.

The company said that its online offering outperformed in all regions, while the "travelling luxury consumer" drove offline, flagship market sales.

Ahrendts added: "The senior team continues to balance brand appropriate revenue growth, selective investment and infrastructure efficiencies to drive sustainable profit growth, especially with the significant long-term potential of our fifth product division, beauty."


Before commenting please read our rules for commenting on articles.

If you see a comment you find offensive, you can flag it as inappropriate. In the top right-hand corner of an individual comment, you will see 'flag as inappropriate'. Clicking this prompts us to review the comment. For further information see our rules for commenting on articles.

comments powered by Disqus
Brand Republic Jobs

subscribe now


Virgin, Baileys and Camelot join the line-up at Media360
MasterCard renews Rugby World Cup sponsorship to push cashless message
Lynx unleashes £9m 'Peace invasion' campaign
Social Brands 100 Youth: Pizza Hut most social youth brand in UK
Cheryl Cole is wild and arresting in new L'Oreal work
Morrisons told not to show alcohol ads during YouTube nursery rhymes
O2 head of brand Shadi Halliwell departs after 23 years at company in restructure
Tesco hit by further sales decline as it turns to digital Clubcard and social network
Branding guru Wally Olins dies aged 83
Duracell short film captures epic Transatlantic voyage
Ash runs Tinder experiment to show smokers are less desirable to opposite sex
British Airways teams up with Gerry Cottle Jnr for summer of rooftop film screenings
Arklu says 'girls can be superheroes too' with doll design competition
Coke enters squash market with Oasis Mighty Drops
Virgin Galactic signs up Land Rover as space flight sponsor
Motorola marketer Andrew Morley departs as Google gears up for sale to Lenovo
US Airways apologises after tweeting obscene image at a customer
Mumsnet admits users' emails and passwords accessed via Heartbleed bug
Thetrainline.com backs 'rubbish' mobile app with TV ad
Powerade launches global World Cup campaign
Subway considers taking fast food to fast lane with F1 sponsorship
Burberry's flagship Shanghai store facade responds to weather changes
Ikea splurges 'grey' Belgium with colour
Grim outlook for Tesco boss Philip Clarke ahead of expected profits fall
Thomson to create first crowd-sourced wedding decided by Facebook fans
Currency wars meets origami in Alpari FX trading ad campaign
Amazon rumoured to launch 3D smartphone in September
Facebook to allow European users to store and transfer money on site, claims report
Unilever pilots multi-brand advertising with YouTube beauty channel
Lego, Coca-Cola, Net-a-Porter, Bitcoin and AOL: the digitally creative brands