Burberry FY 2012 revenue up by 24%

Wednesday, 23 May 2012

In the fiscal year that ended in 2012, Burberry increased their revenue by 24 per cent to £1,857million (US$ 2925 million or Rs 16333 crores), compared to £1,501million (US$ 2364 million or Rs 13200 crores) in 2011. It also reported an adjusted profit tax of 26.7 per cent to £376 million (US$ 592 million or Rs 3305 crores) from £298 million (US$ 469 million or Rs 2618 crores) in 2011. Adjusted diluted earnings per share have been reported to have increased by 26 per cent to 61.6p from 48.9p in 2011.

Similarly, full year dividend per share too went up by 25 per cent to 25.0p as compared to 20p in 2011. At the year end, the net cash of the company increased to £338 million (US$ 532 million or Rs 2970 crores) from £298 million (US$ 469 million or Rs 2618 crores) in 2011. Burberry continued to extend its reach and impact through innovative marketing, leveraging its brand content to engage and connect with consumers globally. Menswear grew by 26 per cent underlying and represented 24 per cent of retail/wholesale revenue.

Non-apparel grew by 22 per cent underlying to remain Burberry's largest product division at 39 per cent of retail/wholesale revenue. With 31 per cent underlying growth, retail accounted for 68 per cent of revenue in the full year (72 per cent in the second half). Comparable store sales growth for the year was well over 20 per cent, with the fourth quarter lower. With Europe remaining Burberry's largest wholesale region, accounting for about 40 per cent of group wholesale revenue, company reported 26 per cent of revenue generated from sales to department stores, multi-brand specialty accounts, Emerging Market franchisees and Travel Retail as compared to 29 per cent in 2011.

At the year end, Burberry had 63 stores in mainland China, accounting for about 12 per cent of group retail/wholesale revenue. Continuing to invest in high growth luxury markets and being in the investment phase in US, Burberry manages three directly-operated stores in Brazil, two in Mexico and seven in India. Company also plans to open ten new stores in Central and Latin America in FY 2012/13. Looking forward to FY 2012/13, while vigilant about the external environment, Burberry plans to continue to invest to drive growth. Capital expenditure for FY 2012/13 is planned in the range of £180 million (US$283 million or Rs 1580 crores) to 200 million (US$315 million or Rs 1758 crores), compared to £153 million (US$ 241 million or Rs 1345 crores) in 2011.