China lockdowns limit Burberry’s first-quarter sales growth to 1%

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Outside mainland China, the company reported a 16% rise in comparable store sales, with Europe up 47%.

Burberry, known for its camel, red and black check and TB monogram, said its performance in China had been encouraging since its stores reopened in June, and it was actively managing the headwind from inflation.

Chief Executive Jonathan Akeroyd said: “Our performance in the quarter continued to be impacted by lockdowns in Mainland China but I was pleased to see our more localised approach drive recovery in EMEIA (Europe, Middle East, India and Africa), where spending by local clients was above pre-pandemic levels.”

Comparable store sales in the Americas fell 4%, it said, against a tough comparative a year ago.

Burberry said its medium-term target of high-single digit revenue growth and 20% margins was unchanged.