Burberry comparable retail sales up 3pc in Q3

(Sharecast News) - Fashion house Burberry reported a 3% rise in comparable retail sales in the third quarter of FY26, as the luxury group highlighted improving product momentum and stronger engagement with younger consumers. Burberry said it delivered higher quality revenues across channels and regions, helped by a shorter and more discreet markdown period compared with last year.

It also pointed to double‑digit growth in Gen Z customers in Greater China and Asia Pacific, alongside broader gains with younger shoppers globally. Its hero categories - outerwear and scarves - again outperformed with double‑digit growth, while momentum extended into handbags and ready‑to‑wear.

By region, Burberry said Greater China delivered 6% growth in the quarter, doubling the rate seen in Q2, driven by local spending, while Asia Pacific rose 5%, supported by a 13% rebound in South Korea from both domestic demand and Chinese tourist flows. Japan grew 2%, matching Q2 despite softer tourism, while the Americas also rose 2% on gains from new and local customers. EMEIA was flat as local demand offset continued weakness in tourist spending.

The FTSE 100-listed group stated a 2% currency headwind left reported retail revenues at £665m, up 1% year-on-year.

Looking ahead, Burberry said the impact of its initiatives was continuing to build into the final quarter, with FY26 adjusted operating profits expected to be in line with consensus estimates.

Chief executive Joshua Schulman said: "During the festive quarter, we continued to build momentum with our Burberry Forward strategy, delivering sequential improvement in comparable sales growth and an improved quality of revenue across channels and geographies,"

"Our customers responded to our immersive Timeless British Luxury campaigns and experiences while the continued strength in our core outerwear category is now extending into accessories and ready-to-wear. As we move into 170 years of Burberry, these results reaffirm the enduring strength of our iconic brand and give us confidence in the path ahead."

Reporting by Iain Gilbert at Sharecast.com