logo
  

Burberry's Retail Sales In China To Hit As 24 Stores Closed Due To Coronavirus

Retailer Burberry Group plc (BRBY.L) announced Friday said the ongoing coronavirus outbreak will impact retail sales in both Mainland China and Hong Kong S.A.R.

In China, the company's 24 stores, out of 64 total stores, are closed at present, while the remaining stores are operating with reduced hours amid significant footfall declines.

Marco Gobbetti, Chief Executive Officer, said, "The outbreak of the coronavirus in Mainland China is having a material negative effect on luxury demand. While we cannot currently predict how long this situation will last, we remain confident in our strategy."

Burberry noted that the spending patterns of Chinese customers in Europe and other tourist destinations have been less impacted to date. However, due to the widening travel restrictions, the company anticipates these to worsen over the coming weeks.

The company said it is taking various actions but the benefit will be limited in the current year. The company also intends to continue its key growth initiatives in preparation for a recovery in luxury demand.

The company will provide a retail trading update following financial year end.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
McDonald's says equal pay for women is just the beginning, while conforming that the fast-food giant pays women globally 99.85 cents on the dollar for similar work, taking into account legitimate pay drivers such as level, location, experience, and performance. The company added that it is on track to close that identified gap in 2022. Verizon Communications Inc. (VZ) said, on an adjusted basis, its third-quarter earnings per share rose 12.8 percent from a year ago. The company said its earnings were highlighted by revenue and customer growth as more than one in four Consumer wireless phone customers now have a 5G-capable device. The... While reporting financial results for the third quarter on Wednesday, Abbott Laboratories (ABT) raised its earnings and adjusted earnings guidance for the full-year 2021. For fiscal 2021, the company continues to project earnings from continuing operations in a range of $3.55 to $3.6 per share and...
RELATED NEWS
Follow RTT