Burberry continued its impressive growth over the festive period posting a 21% rise in revenues for its third quarter with core outerwear and large leather goods driving half the growth.
For the three months to December 31, revenue at the luxury British heritage brand rose by 21% from £470m to £574m.
Retail revenue jumped 23% from £335m to £417m, with like-for-like store sales up 13%. Burberry said flagship markets including London, Paris, Beijing and Hong Kong outperformed.
Across the retail arm core outerwear and large leather goods drove half the growth with knitwear, men’s accessories and tailoring also growing strongly.
Burberry’s wholesale business grew by an underlying 15% from £112m to £130m as deliveries during the quarter benefited from improved supply chain and monthly flow of product.
During the period, Burberry opened six mainline stores including a key store in Paris. Chief financial officer Stacey Cartwright said the new Burberry flagship on Regent Street was on schedule to open “just ahead of the Olympics”.
She said: “Essentially it’s going to be the largest store in our portfolio. It’s going to have some fun new concepts there. This is our home market and we want to ensure it is a beautiful store with our full digital offering.”
Cartwright said that although Burberry remained mindful of the macro economic conditions it would not change forecasts for the year with profit before tax for the full year expected to reach £375m.