Burberry on expansion trail

FASHION company Burberry said yesterday it would expand its store space by ten per cent after it produced another set of stellar results.

Its revenues soared by 32 per cent in the three months to March and Burberry said profit for the full-year would be at the top end of expectations.

Burberry has been boosted by a massive expansion in its Asian markets and is riding out a tough time in Japan, one of its main markets, recently hit by a devastating earthquake and tsunami.

The company said its Burberry Prorsum and Burberry London ranges were the star performers. Burberry reiterated its January view that it expected full-year profits at the

top end of analysts’ expectations, which at that time ranged from £250-£290m

Chief executive Angela Ahrendts said: “Burberry had a strong finish to the year, driven by our design, digital marketing and retail initiatives, as well as good early progress in China.”

Shares in the company closed six per cent higher at 1,215p yesterday after the update.

The group slashed costs to keep it on track during the downturn and is now enjoying a resurgence in luxury spending.

Ahrendts added: “While the luxury industry faces global challenges in the year ahead, we remain confident in our team’s ability to outperform, underpinned by the consistent execution of our key strategies.”