Financial performance
- Revenue £1,159m, down 4% underlying (up 5% at reported FX)
- Retail growth, led by strength in the UK, offset by declines in wholesale and licensing, in part reflecting actions to build and reinforce luxury brand positioning
- Adjusted profit before tax £146m, down 24% underlying (down 4% at reported FX)
- Adjusted retail/wholesale profit down 19% underlying (up 3% at reported FX), principally due to lower revenues
- Licensing profit down £11m due to planned expiry of Japanese licences
- Reported profit before tax £102m, down 34% after adjusting items reflecting strategic actions
- Net cash of £529m at September 2016 (2015: £459m), after £69m payment for China and Burberry Middle East non-controlling interests
Strategic progress
- Product focus
- Innovation and newness resonating with customers; strength in bags as continue to develop category
- Productive space
- Focus on customer cultivation and retail service; increased investment in global training and expanded Burberry Private Client team
- E-commerce leadership
- Digital grew in all regions; launch of redesigned website and strong growth from digital third-parties
- Operational excellence and Inspired people
- Simplifying our structure and processes to enhance efficiency and effectiveness;
on track to deliver planned cost savings of around £20m in FY 2017
- Brand reach and engagement building; exceptional response to runway show and collection
Capital returns to shareholders
- Additional £50m share buyback to commence upon completion of first £100m, of which £34m completed in the half
- Interim dividend up 3% to 10.5p
