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Burberry expects strong profit as sales rise
Stock Market News | 2011/04/19 03:39

Shares in British luxury goods company Burberry Group PLC jumped Tuesday after the company reported strong second-half sales and predicted a full-year profit at the top end of market forecasts.

Burberry's popularity in the Asia Pacific region, particularly Hong Kong and Taiwan, led sales 33 percent higher in the six months to March 31, compared to a year earlier.

Chief Executive Angela Ahrendts said the company expects full-year pretax profit to be at the top end of market forecasts, or around 347 million pounds ($564 million).

"While the luxury industry faces global challenges in the year ahead, we remain confident in our team's ability to outperform, underpinned by the consistent execution of our key strategies," said Ahrendts in a trading update.

Retail revenues were 42 percent higher at 596 million pounds ($972 million), while wholesale revenues rose 14 percent to 214 million pounds ($349 million).

Shares in the company, known for its distinctive red, black and brown plaid fabric, were up 6 percent at 1,216 pence in midmorning trade on the London Stock Exchange.



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