Burberry raises its annual profit forecast and climbs on the stock market | Photo credits: Burberry
LONDON, Jan 19 (Reuters) – British luxury brand Burberry said on Wednesday its full-year profit would beat market expectations as sales picked up in its third quarter.
On the London Stock Exchange, Burberry shares rose in the morning by 5.86% to 1,858.5 pence, among the highest increases in the STOXX 600, almost unchanged at the same time.
The group, known for its checkered trench coat, estimates that its adjusted operating profit for the year ending April 3 will increase by around 35% at constant exchange rates.
Analysts on average had expected an increase of 19% to 472 million pounds (566.04 million euros), according to a consensus established by the company.
During the third quarter, Burberry benefited from strong demand for outerwear and leather goods and from a marked improvement in its activity in Asia and Europe.
Full-price same-store sales were up 26% from the same period two years ago.
“Despite a continued challenging external environment, we are confident of ending the year strong and providing an excellent platform on which to build when our new Chief Executive, Jonathan Akeroyd, joins us in April,” Burberry said. .
Jonathan Akeroyd, who until now was boss of the Milanese house Gianni Versace and had previously managed the fashion house Alexander McQueen, was appointed in October to replace Marco Gobbetti.
(Report Paul Sandle; French version Dina Kartit, edited by Blandine Hénault)