Burberry has posted a decline in profits amid a strong luxury sector, as its wholesale and licensing business struggles.
The luxury fashion retailer posted a 24 per cent dive in profits in the six months to September 30, dropping from £151.7 million to £146 million from last year.
Constant currency revenue dropped by four per cent to £1.16 billion, although when currency fluctuations are considered this increased to a rise of five per cent.
Meanwhile, tourist spend on luxury items which have contributed to a boom in the luxury sector since Brexit saw sales in the UK spike by 30 per cent.
Global sales also contributed to the company’s financial woes as US and Asian like-for-like retail sales also fell.
“In May we outlined plans to evolve how we work as a business and to drive Burberry’s future growth in a rapidly-changing luxury environment,” chief executive Christopher Bailey said.
“Since then, we have made good early progress towards realising the significant opportunities ahead of us as we begin implementing our five strategies. We remain on track to deliver our financial goals.”