“Full-price sales continued to grow at a double-digit percentage compared with two years ago, accelerating from the previous quarter and reflecting a higher quality business. Our focus categories outerwear and leather goods performed strongly as we continued to attract new, younger consumers to the brand. Despite the ongoing challenges of the external environment, we are confident of finishing the year strongly and providing an excellent platform on which to build when our new CEO Jonathan Akeroyd joins in April”, commented Gerry Murphy, Chair of Burberry.

Third Quarter Results

In the third quarter of fiscal 2022, which ended on the 25^th of December, revenue increased by 5%, as reported, and by 8%, at constant exchange rates, reaching 723 million British pounds (984.4 million US dollars), on a comparable basis to the same period last year.

Full-price comparable stores sales grew by 26% in the third quarter of the current year, as compared to the same period of fiscal 2021. Total comparable stores sales dropped by 3%, as compared to the third quarter of the prior year, “impacted by our planned exit of markdown across mainline and digital, as we enhanced the quality of our revenues”. The company has pointed out that digital innovation remains a key driver of growth with digital full-price sales up high double digits, on a comparable basis to last year.

In the third quarter of financial 2022, full-price comparable store sales were up by 72%, driven by new customers, in the Americas region, on a comparable basis to the same period of last year.  EMEIA region* reported improving trends, with full-price comparable stores sales only falling by 4%, given the ongoing lack of tourism.

The Asia Pacific region saw full-price comparable store sales accelerating from the previous quarter as some COVID-19 restrictions have been eased. On a comparable basis to the third quarter of fiscal 2021, comparable full-price store sales grew by 37% in Mainland China and by 62% in South Korea. Japan and South Asia Pacific improved from the previous quarter; however, performance was still affected by the limited tourist traffic.

Concerning product category, full-price outerwear sales grew by 38% in the third quarter of fiscal 2022, as compared to the same period of 2021. Leather goods full-price sales also performed well, increasing by 29%, on a comparable basis to the same period of the previous year.

The company is expecting full-year adjusted operating profit to grow by approximately 35%, at constant exchange rates, as compared to fiscal 2021.

Burberry’s new CEO

Meanwhile, it has been announced that Burberry’s newly appointed CEO, Jonathan Akeroyd, will join the company ahed of schedule, on the 15^th of March 2022.