Burberry bounces back into black with pre-tax profits forecast to be £88m
Burberry is expected to reveal a return to profit in its full year results on Thursday.
Pre-tax profits for the year to March are forecast to be £88 million, according to data site Refinitiv, as other luxury goods firms face a gloomy economic backdrop.
While the Middle East war has dealt a blow to rivals such as LVMH for Burberry the region is just 3 per cent of its sales. A return to profit will also vindicate its drive to restore its reputation for ‘timeless British luxury’.
Celebrity backing: Rosie Huntington-Whiteley wears Burberry at the Met Gala extravaganza
Shares in the FTSE 100 firm are 70 per cent up on a year ago when it posted a pre-tax loss of £67 million. Its image was helped when Cher, Romeo Beckham and Rosie Huntington-Whiteley wore its outfits at New York’s Met Gala last week.
But investors will want news on reaching its target of £100 million of cost savings by 2027. They will also want to be reassured on progress in China and the rest of Asia by boss Joshua Schulman.
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