Chinese demand boosts Burberry sales

By DAILY MAIL REPORTER
Updated: 17:41 EST, 13 October 2010

A surge in demand for Burberry's iconic trenchcoats among wealthy Chinese tourists helped boost half-year sales at the upmarket retail chain.

The fashion group shrugged off the downturn to post a 17 per cent rise in underlying group sales for the six months to 30 September at a time when many of its High Street rivals are struggling to woo customers.

Finance boss Stacey Cartwright said performance at its network of 50 stores in China was particularly strong along with a pick-up in demand from fashionconscious Chinese men, like Hong Kong actor and popstar Eason Chan.

Iconic: Burberry's trenchcoat, whose demand helped bosst half-year sales

Revenues in the past quarter rose 12 per cent to £359million, up from £282million in the previous three months, prompting the firm to say profits would be at the top half of expectations.

But its shares fell 31p to 1008p on disappointment that the firm did not lift its forecast even further. Cartwright was upbeat on future trading saying Burberry would not be affected by a spike in cotton prices.