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Burberry Sales Miss Estimates as Demand Dwindles in US

Burberry said that the relative strength of the US dollar had driven a strong increase in sales from US customers abroad, while demand at home was reduced.

Burberry's London flagship store at 121 Regent Street | Source: Burberry

Bloomberg

19 April 2017

LONDON, United Kingdom — UK luxury retailer Burberry Group Plc's quarterly sales missed analyst estimates as a decline in the Americas region countered gains in mainland China.

Fourth-quarter retail revenue rose 2 percent on a comparable basis, the London-based company said Wednesday, less than a predicted increase of 5 percent in a Bloomberg survey. Sales in the Americas showed a mid single-digit percentage decline in the second half.

“The relative strength of the US dollar drove a strong increase in sales from US customers abroad, while demand at home reduced,” Burberry said of its performance in the Americas. “In addition, strategic actions taken to protect brand positioning in the highly promotional US environment contributed to the decline.”

The company said it’s maintaining its forecast for adjusted pretax profit.

By Robert Williams; editors: Eric Pfanner and Paul Jarvis.

In This Article

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Financial Markets

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Burberry

Location

London, United Kingdom

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