“We have made strong progress in the half. Full-price sales are growing at a double-digit percentage, driving margin expansion and strong free cash generation. We are seeing an acceleration in performance in countries less impacted by travel restrictions, and we remain confident of achieving our medium-term goals. I would like to thank Marco Gobbetti for his vision and leadership of Burberry’s transformation. We are very excited that Jonathan Akeroyd is joining as our CEO in April to build on the strong foundations to accelerate growth and deliver further value for our shareholders”, commented Gerry Murphy, Burberry’s Chair.

First Half Results

In the first half of fiscal 2022, which ended on the 25th of September 2021, revenue increased by 45% at constant exchange rates, and by 38% as reported, totalling 1.23 million British pounds, on a comparable basis to the same period of last year. 

Retail comparable stores sales grew by 37% in the first half of 2022 (up by 90% in the first quarter and by 6% in the second quarter), as compared to the same period of fiscal 2021. The company noted that its performance was driven by its focus on full-price sales, which rose by 18% in this period (up by 26% in the first quarter and by 10% in the second quarter), as compared to similar period last year. On a comparable basis to the first half of fiscal 2020, comparable store sales increased by 1%.

In the first half of the current year, the Asia Pacific region reported growth of 5%, as compared to the same period of last year, largely led by the performances in Mainland China and South Korea. Comparable stores sales increased in Mainland China by 30% in the first half of 2022, despite the second quarter being affected by travel restrictions in August. In South Korea, comparable stores sales were stable throughout the entire period, having grown by more than 40%, on a comparable basis to the first half of fiscal 2021. South Asia Pacific region and Japan performances were significantly impacted by COVID-19 related restrictions.

The Americas’ region recorded an increase of 38% in comparable store sales, with full-price sales almost doubling. EMEIA* region comparable stores sales showed an improvement from the first to the second quarter of fiscal 2022, driven by local customers as tourist flows remain limited.

Digital sales continued to see strong full-price sales growth in the first half of 2022, almost doubling by a double-digit percentage, as compared to the same period last year.

Full-Year Outlook

For the fiscal year of 2022, Burberry’s outlook remains unchanged: medium-term guidance for high single-digit top-line growth and meaningful margin accretion.

*EMEIA region includes Europe, Middle East, India and Africa.