Burberry logs rising profit despite Hong Kong protests

by AFP/ pic by BLOOMBERG

LONDON – Luxury British fashion house Burberry on Thursday logged rising interim profits despite the impact of ongoing protests in Hong Kong.

Profits after taxation rose 14 percent to £150.3 million ($193 million, 175 million euros) in the first half of Burberry’s financial year, or 26 weeks to September 28, it said in a results statement.

Burberry, famed for its designer handbags and trademark check pattern, added however that sales in Hong Kong suffered a “double digit” percentage decline due to the protests.

The fashion house also took a £14-million impairment on the value of its stores in Hong Kong.

However, total group sales grew five percent to £1.28 billion, aided by new collections from chief creative officer Riccardo Tisci.

“We are pleased with our performance in the half, as we remain on track to deliver the first phase of our strategy,” said Chief Executive Marco Gobbetti.

He added: “We also continued to strengthen momentum around our brand and transform our distribution.

“We delivered financial results in line with guidance despite the decline in Hong Kong and we confirm our outlook for 2020.”