Burberry’s first-half adjusted profit before tax fell 24% to £146m on an underlying basis for the six months ended 30 September, despite strong UK retail growth.
Sales fell 4% on an underlying basis to £1.2bn as the strong retail performance was offset by declines in wholesale and licensing.
Reported profit before tax was down 34% year on year to £102m.
Burberry’s performance improved in the second quarter as it benefited from an uplift in travelling luxury consumers. In the UK, comparable sales up over 30% due to the depreciation of sterling.
Burberry said it has made good early progress since it outlined plans to evolve how it operates in May. It has injected its ranges with more innovation and newness, increased the investemnt in training and simplified its structure.
Partly as a result of the restructure, it is on track to deliver planned cost savings of around £20m for the full year.
“We remain on track to deliver our financial goals,” said Christopher Bailey, chief creative and chief executive.