China lockdowns limit Burberry’s first-quarter sales growth to 1%
2022.07.15 09:58
FILE PHOTO: Burberry signage is seen at their store at the Woodbury Common Premium Outlets in Central Valley, New York, U.S., February 15, 2022. REUTERS/Andrew Kelly
LONDON (Reuters) -British luxury brand Burberry on Friday said its first-quarter comparable store sales rose by 1%, limited by COVID-19 lockdowns in China, its biggest market.
Outside mainland China, the company reported a 16% rise in comparable store sales, with Europe up 47%.
Burberry, known for its camel, red and black check and TB monogram, said its performance in China had been encouraging since its stores reopened in June, and it was actively managing the headwind from inflation.
Chief Executive Jonathan Akeroyd said: “Our performance in the quarter continued to be impacted by lockdowns in Mainland China but I was pleased to see our more localised approach drive recovery in EMEIA (Europe, Middle East, India and Africa), where spending by local clients was above pre-pandemic levels.”
Comparable store sales in the Americas fell 4%, it said, against a tough comparative a year ago.
Burberry said its medium-term target of high-single digit revenue growth and 20% margins was unchanged.
