Profits at luxury fashion house Burberry are expected to jump more than a fifth after shoppers splurge on coats and bags
<!–
<!–
<!– <!–
<!–
<!–
<!–
Innovative: British actress Jodie Comer at the Met Gala
Profits of luxury fashion house Burberry are expected to rise by more than a fifth after shoppers buy coats and bags.
City analysts expect the FTSE 100 group to have earned more than £600 million last year, according to Refinitiv estimates, compared to around £492 million in 2021.
It will be the first set of full-year earnings to be released under CEO Jonathan Akeroyd, 56, who was awarded a £6 million ‘gold hello’ for his move from Versace last March.
He was eager to shake up design and improve sales after ex-boss Marco Gobbetti left unexpectedly. Gobbetti raised prices and reduced discounts to make the group, seen for years as a downmarket, more exclusive.
Akeroyd named Daniel Lee chief creative officer in October to refresh the brand. He created an innovative look for British actress Jodie Comer at the Met Gala this month.
Spending on luxury goods took a hit during the pandemic, but is shielded from cost-of-living pressures as wealthy shoppers feel less of a squeeze.
Analyst Susannah Streeter, at Hargreaves Lansdown, said: “With stocks just a nudge from all-time highs, investors will want reassurance that the expected pullback in sales has materialized.” She said the new focus has paid off, with leather bags and jackets selling well.
.