Burberry reports better-than-expected sales in its first report under new CEO Marco Gobbetti, helped by stronger demand in China and good performance in its home British market. Ciara Lee reports.
They're the first results under Burberry's new CEO Marco Gobbetti - and they didn't disappoint. The luxury brand reported a better-than-expected increase in like-for-like first quarter sales. They increased by 4 percent, double analysts' forecasts. Retail revenue stood at 478 million pounds for the three months to the end of June. Strong demand in China and continuing good performance in its home market Britain all helped. Gobbetti took over from Christopher Bailey as chief executive this month, charged with strengthening the brand while improving efficiency. (SOUNDBITE) (English) Hargreaves Lansdown, Senior Analyst, Laith Khalaf, saying: "I think it's very early days. I mean obviously some positive numbers out today which show that Chinese shoppers are back out in force which is positive. But I think it's far too early in his tenure to put down all the good news to his management." Gobbetti said he was pleased with the group's performance , but was mindful of the work still to do. That includes improving the performance of its stores, where it delivers lower sales than rivals.