Burberry sales increased five per cent in its first quarter as chief executive Joshua Schulman’s turnaround strategy continued to gain momentum.
Revenue climbed from £433m to £455m during the 13 weeks to 27 June, while comparable store sales rose five per cent , reversing a one per cent decline the previous year.
Burberry recorded growth across womenswear, menswear, accessories and childrenswear for the first time in three years, led by a double-digit increase in outerwear sales.
Its Portraits of an Icon campaign helped attract new shoppers, with the number of new rainwear customers rising 19 per cent. Womenswear handbags also returned to growth, while ecommerce sales increased by a mid-teens percentage.
The Americas remained Burberry’s strongest market, with comparable sales jumping 12 per cent, followed by a nine per cent increase in Greater China as the brand attracted more Gen Z customers.
Asia-Pacific sales rose three per cent, including an 11 per cent increase in South Korea, although Japan fell two per cent amid a continued decline in Chinese tourist numbers.
Europe, the Middle East, India and Africa dropped three per cent as conflict in the Middle East affected tourism and consumer spending. Excluding the Middle East, sales in the region fell one per cent.
Schulman said: “Our strategy is working,” adding that the brand was attracting luxury shoppers across more products, channels and markets.
Burberry expects to deliver full-year revenue growth and improved margins, although it warned that geopolitical and economic uncertainty could affect consumer confidence.
The company increased its first-half wholesale forecast to high-single-digit growth following a positive response from partners.
It remains on track to generate £100m in annual cost savings by the end of its current financial year, having delivered £80m of reductions last year.
Burberry expects a further £5m restructuring charge and plans to invest approximately £120m during the period.
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