A customer walks in front of a Burberry store in central London July 15, 2008. REUTERS/Alessia Pierdomenico/File Photo
LONDON
(Reuters) - Britain's Burberry reported a 3 percent drop in
like-for-like sales in a "challenging" first quarter, underlining the
size of the task facing Marco Gobbetti when he takes over chief
executive duties from Christopher Bailey next year.
The
luxury goods group said a positive 3 percent contribution from new
stores resulted in flat retail sales of 423 million pounds ($562
million), slightly better than analysts' expectations.
Burberry
announced the appointment of Gobbetti, the Italian boss of LVMH brand
Celine, on Monday. Bailey will become president as well as retaining his
creative role.
The
firm is struggling to counter a sales downturn in mainland China and
Hong Kong and fewer tourists in Europe after attacks in Paris and
Brussels.
However,
it is benefiting from a drop in the value of the pound after Britain
voted to leave the European Union last month, saying its adjusted profit
would be boosted by about 90 million pounds if exchange rates remain at
current level.
(Reporting by Paul Sandle; editing by Kate Holton)
Culled from Reuters
No comments:
Post a Comment