Profits up at Burberry

United Kingdom
Published:  21 May, 2014

Burberry Group PLC reported a higher pretax profit and revenues for its last financial year, as outerwear, large leather goods and menswear and demand in Asia continue to drive the business forward. 

Burberry's new Chief Executive, Christopher Bailey, welcomed record-beating full-year results on May 21 with headline profits up 8% and sales reaching £2.33 billion (US$3.9 billion).

Pre-tax profit of £461 million (US$779 million) beat City forecasts and sales jumped 17% for the year to April.

The FTSE 100 luxury retailer also said it has appointed EasyJet PLC Chief Executive Carolyn McCall to its board as a non-executive director. Burberry said that in the year ahead it will up investment, pumping around £200 million (US$338 million) in capital expenditure focusing on its retail division, the Japanese market, and its beauty division, which the company brought back in-house last year.

The demand for Burberry's goods has been driven by much of the same factors of late; travelling "luxury customers", particularly from Asia, buying the retailer's outerwear and leather goods, like its iconic trench coats and check-print patterned goods.