Burberry annual pre-tax profit up 24 per cent

Revenue from retail, wholesale, and licensing channels surge.

New Statesman
Photograph: Getty Images.

The British designer clothing retailer Burberry Group has posted a pre-tax profit on reported basis of £366m for the fiscal year ended 31 March 2012, an increase of 24 per cent compared to £295.7m for the same period last year.

Diluted earnings per share were 59.3p (2011: 48.3p). Net cash was £338m, up from £298m last year.

Operating profit was 376.9 (2011: 302.1), while gross profit was £1.3bn (2011: £1bn).

Revenue from continuing operations increased by 24 per cent to £1.86bn (2011: £1.51bn). The company generated 68 per cent of revenue (2011: 64 per cent) from 192 mainline stores, 208 concessions within department stores, digital commerce and 44 outlets.

Burberry’s revenue from retail, wholesale, and licensing channels were £1.27bn (2011: £962.3m), £478.3m (2011: £440.6m), and £108.6m (2011: £98.4m) respectively.

The company’s flagship markets in UK and France performed well. Although all the regions reported double-digit growth, Asia Pacific contributed 37 per cent of retail/wholesale revenue. Non-apparel division contributed revenue of 39 per cent.

During the year, the company opened 23 mainline stores and first flagships in Hong Kong, Paris and Taipei.

Angela Ahrendts, CEO of Burberry Group, said: “Burberry has completed another successful year, with revenue up 24 per cent and adjusted profit before tax up 26 per cent. An intense focus by our global teams on business, brand and culture in recent years has resulted in a strong foundation across channels, regions and products. While we remain vigilant about the external environment, we will continue to invest in front-end opportunities within our brand, digital and retail strategies, to drive sustained, profitable growth and enduring customer engagement over the long term.”